Author Archives: Ben

What to Look For in a Quality Builder in Melbourne

Are you looking for a builder? Are you worried about finding one of quality rather than one who gets the job done as quickly as possible? If so, you’ve come to the right place. It can be hard to choose the right builder for your needs, which is why we’ve created this guide. In the text below, you can read all about what to look for in a quality builder in Melbourne.

The Business’s Reputation

When you’re looking for the right builder, make sure you find someone who has experience. This way, they’re more likely to have a portfolio and client reviews. The more homes that he or she has built, the more likely they are to complete your project without a hitch.

Ask About Warranties

Some companies will offer you warranties depending on the amount of work that’s done and the price of the project. Of course, you should try to get everything in writing so that the builder can’t back out of your agreement.

The builder could have a warranty insurance in case he or she dies, goes missing, etc., so that the client isn’t stuck without money or a builder.

If your builder offers this insurance, it automatically provides reassurance to potential clients and gives the illusion that he or she cares about the project in question.

References and Client Reviews

Anyone who does a good job on a home will have clients that boast about it. After all, clients will have to spend a good portion of their lives in the home that’s built, so when they’re happy about it they’re likely to share their experiences.

You shouldn’t worry too much if a company only has a few negative reviews. It’s bound to happen that at some point in their careers, they either get very demanding clients or they simply don’t connect to a project enough to satisfy a client. Everyone is human, so you can’t expect perfection.

That said, there’s a difference between a few negative reviews and a pattern. If you notice that a builder has a long history of unsatisfied clients, you should assume that the builder is the problem.

The Services Offered

You should try to get the best for your money. Why hire one company for the construction process and another for the building process if you can just hire one company to do both? Think about it. You’d be doing research for two different companies and services that could just be done by one larger company. While you might have to pay more per hour for the extra people, you’ll be saving money in the long run because it’ll take less time than hiring two companies with big costs per hour.

Your builder should also be willing to show you his or her licence to prove any necessary credentials in Melbourne.

Conclusion

Are you looking for a builder in Melbourne? Are you wondering the best way to find the builder you deserve? There’s a few things you can do to find the perfect person or company, and most of them come from intense research.

For one thing, you should look at the company history and at the services being offered to clients. Beyond this, make sure you ask about warranties and you ask how long the company has been in business. In doing so, you’re protecting yourself and your property from trouble and unnecessary struggle.

5 Key Tax Considerations When Building a Multi Unit Building

Real estate is an investment that many people make at one point in their lives. If you’re one of these people, then you might consider constructing a multi unit building; however, this comes with complications of its own.
When you build a multi unit building, you must also take into account several tax considerations. Here, you can read about five tax considerations you should keep in mind when you’re building a multi unit building.
 

Consideration #1: GST

If you’re going to put your new building up for sale, then you should be aware that you’re liable for GST. GST is a goods and service tax that is applied on most goods and services sales, and you can claim GST credits for the cost of construction, as well as any other expenses you pay that are related to the sale.
If GST applies to you, then you will most likely be paying 1/11 of the total sale price in GST. You can always check out the ATO’s website to find out whether you’re eligible to pay less money through the margin scheme. This will allow you to pay the margin of the property’s sale instead of the total sale value like we said before.
 

Consideration #2: New Residential Properties

Your unit building is considered to be a new residential building if it was not sold as a residential building in the past, if it went through extreme renovations, or if a building on the same site was leveled so that you could build your multi unit building.

After five years of being rented as a residential building, yours will no longer be considered new. After these five years, your rented property will be input taxed if you decide to sell it.
 

Consideration #3: Renting AND Selling

This is a bit more complicated to explain. Previously, we’ve told you what qualifies as a new residential building, and how you will be taxed on the building if you’re planning to rent or sell it.

If you decide to rent your multi unit building out to tenants while you’re selling it, then you should also consider how your GST credits will be changed.

In this case, you will have to prove that you’re intending to sell the building. You can do so by repeatedly putting it up for sale.
 

Consideration #4: Selling Before It’s Complete

If you sell your multi-unit building before its construction is completed, this is called an off-the-plan purchase. When this happens, the right to build this building is transferred to the buyer.

This sale might be considered an enterprise, so you’ll have to consider this as you move forward.
 

Consideration #5: Will it be a commercial residential property?

If you’re building a multi unit building, then you might also consider opening an inn, motel, etc. By selling this property, you’ll also be making a sale that can be taxed. That said, you can claim GST credits for anything you had to purchase in order to sell this property. For this, you can also use the link that is included further up in this article in order to calculate your GST with the margin scheme.
 

Conclusion

Taxes can be very hard to understand, and it’s not exactly something we learn in schools. That’s why you might find yourself at a loss if you’re trying to build a multi unit building and you aren’t sure how it will affect your taxes. Above, you can read all about selling the multi unit building that you have in construction so that this process is much easier!

Five Tips For Planning Our Your Multi-Homes

Congratulations! You have made the decision to invest your money in property. The market is booming right now and there is no better time than getting into the property market. But where do you start? What do you build? Well, if you look at what most people are doing – developing and constructing multi-homes and townhouses – you can see that it pays off handsomely. This venture provides a high return on investment and they can be constructed with high-quality materials rivalling regular homes. But before you jump the gun and give the go-ahead to the development of your multi-homes, you have to take a step back and plan it out perfectly. So what to do with it? We have provided you with five tips on planning out the perfect multi-home development, so you get the highest return on your investment.

Location, Location, Location

How many times have you heard this term? There is a reason for it. The better the location, the better chances you’ll sell at a higher rate. It’s no surprise that the prime locations will help sell the property (or rent it depending on your situation) easier. While we are on the topic of location, you have to know your market in your area. What kind of people are in the area or coming into the area this knowledge (and research) will help you appeal to the largest audience of potential renters. Before anything else, look at the best location in Melbourne and Geelong for your multi-home development.

Curb Appeal Still Dominates

Location might be one thing; curb appeal another. What does this mean exactly? “Curb appeal” refers to the appeal of the property from a passing-by-view. Does it look beautiful? Does it fit in with the decor of other homes? Does it stand out with its uniqueness and landscape design? When you’re planning out the early parts of your multi-home developments, always look the curb appeal factor. Take everything into account, including design, layout, landscaping and so forth. You want a property that will draw in potential renters, buyers and make them want to live there.

Keep The Colours Neutral

While you may like to include a mixture of colours in your development, potential renters and buyers, won’t. So the key when it comes to developing and planning our multi-homes is to keep the colour scheme and design neutral. Choosing neutral colours and themes will help to make the unit appeal to a wider variety of potential renters, buyer and investors. So save yourself a headache and reduce the risk of refusal try keeping your unit neutral.

Stay With Quality Over Quantity

Don’t cut back on quality. Yes, you might think that you’ll be saving thousands in the long-run, but you are losing out on more. The better the quality of your multi homes, the better return on investment you’ll get. People are happy to pay for quality if they know they are getting it. If they see that corners have been cut, they know their money isn’t worth it. They are going to walk through the unit and take into account the amount of time and investment you made.

5) Understand The Market

When it comes to setting the price of your unit take into account the surrounding area, not just the value of the multi-home itself. Don’t be greedy because that will only leave you with empty units. You want to be competitive with the other rates in the area and understand what the market is telling you. Do your research and take the time to put yourself in the position of your potential renters to see what you would pay and also how you would see the unit, this will help you connect to your potential renters and help increase your chances of having tenants instead of empty units.

When you have planned out your multi or town houses, and you know what you want, you can reach out to the experts here at Trevor Homes. We have over 50 years experience in developing and constructing properties throughout Melbourne and Geelong. Speak to us today to get your project off the ground!