House & Land Package 1+1 = 2.2+ – Small lot, 4 Bed, 2 Bath, DLUG

​

When new land estates are released there are two things I look for. The first is 'pre-sales.’ All sellers seek sales momentum. They will also want or need sales to typically keep the financier of the project happy. They might even need a certain numbers of sales to officially start the project.

The second is people. People are sheep. If a new estate is on the fringe of existing housing, as most are, and it's slightly different or pioneering in some way, then there’s usually no sheep lining up. More often that not, they will hold back, stay away or most likely not even notice.

So, if you know your market (demographics and activity) and you’re the first sheep to the shed then, well, you get a nice sharp clip and come out looking fresh first.

In 2000, Stockland released an estate called Kawana Island. I knew it was coming as I did some consulting to them on other projects, but I always watch the big guys for market leads and opportunity. Because let’s face it, their research budget is bigger than ours. The estate turned a mangrove swamp into an inland island by creating lakes to access fill (soil) in order to build up the sites to be sold. It was west of Nicklin Way, but only four streets to the beach and was to include extensive community spaces such as a walkable waterfront, which was new. I was a believer, just look at what happens to land that close to the beach at any beachside region; it wasn’t rocket science!

I got excited and expressed interest in five lots (Believe? Get in Early #3) and told everyone I knew to get on board; no one listened at first. The dry sites (non-waterfront) average cost was $70,000 approx., while the canal front block was $170,000. My initial plan was to build on all dry sites and hold the homes long term as rental properties, while possibly flipping the waterfront site down the track as its supply was far more limited. I often though (to a flaw) tend to commit 100% to an area or estate once I’ve bought in. So here, I very quickly decided to build my own home, moving into enjoy the location, views, the best birthday party ever (my 30th) and the capital growth in a tax free environment being a principal place of residence. After living there for a couple of years I eventually sold the home for $910,000.