Australia is going through a development boom with more and more apartments, communities and homes being built all around the big cities and beyond. If you are looking to sell and get the most possible cash out of your property, then now is the best time to do it in a generation. However, there are some things you can do to make your property even more attractive to real estate developers that you might never have heard of. The biggest of these is through a process called subdivision, and here is how it works.
The Process Of Subdivision
Subdivision is a technique used by developers to turn one large property into many, legally distinct smaller properties. This is done by a conveyancer who is a lawyer that specializes in property and all tangential legal issues including, in this case, subdivision. Once you engage a conveyancer, they will begin to get this transformation ready including:
- Getting exact measurements of your property
- Working out how best to split it into smaller areas
- Submitting paperwork to the council for their approval
- Managing relationships with any interested third party (real estate developer)
- Getting any easements or other necessary property stipulations
It is almost impossible to complete a subdivision without a conveyancer because of how complicated the process can be.
Additional Costs
Once you have gone about creating the newly subdivided properties, you have to make them ready for habitation. After all, very few people will want to buy an empty lot with no infrastructure supporting it. Some basic additions that most developers will expect include connections to water, sewerage, gas and electricity. In addition to this, putting in stormwater drains and a driveway to enable construction vehicles to drive up to the property is always a big plus. Often this cost is later reflected in your selling price.
Purposeful Subdivision
Unless you have a plan in place to sell or use the subdivided land, it can be an expensive process to go down. Retaining fees for your conveyancer and all the applications can add up quickly, so you want to be sure of what you are doing. Many people use subdivision to sell off a parcel of their land and not the whole thing. Others use it to enable family members to live nearby. Catering to a developer is a new type of use for subdivision and one that is set to grow in the near future as Australia's population keeps expanding. It is just important that you have a plan in place when undertaking any major financial and construction decisions, and your conveyancer will help you with plotting your direction.
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