Author Archives: Andrew Stone

A 20% Development ROI is Difficult to Achieve – but it’s Possible

A typical Melbourne townhouse development project takes about 24 months, from purchase through to sale. I generally allow 12 months to attain planning permits, complete construction documentation, and tender for a fixed building contract, plus another 12 months to complete construction. Many developers expect a 20% Return on Investment for an end-to-end project. While ambitious, […]

5 Team Members you Need as a Property Developer

Successful property development requires teamwork under decisive leadership. As the developer, you’re responsible for every single decision – this complete level of accountability can be daunting, especially given the breadth and depth of challenges involved. That’s why it’s so important to assemble a team of experienced professionals who you can rely on for expert advice. […]

How to Assess a Property’s Development Potential

A lot of work goes into finding a good development site. But before you progress to a detailed feasibility study, you’ll want a quick method to rule properties in or out of further consideration. The first, and most important question to ask is ‘What is Possible on the Block?’ You can largely answer this question with information […]

5 Things to Consider when Searching for an Investment Property

Smart property investment is about creating long-term wealth. Put simply, you want the properties you purchase to increase in value as much as possible over time. (Read this article to learn more about why price growth is far more important than rental yield.) So, what are the key things you need to look for in a […]

Why Auction Clearance Rates are So Important to Watch in Melbourne

The media, agents, and real estate bodies such as the REIV and others seam to be obsessed with Auction % Clearance Rates. Every week, it’s “X% success from Y auctions”, and “This week’s A% clearance rate is B% higher than last week/month/year”. It all gets pretty tedious. But, maybe there’s a reason for so many professionals […]

Where in Melbourne Should You Buy an Investment Property or Development Site

The most common question we get from prospective clients is Where should I buy? I’m going to give some very valuable advice in this article. But, before I do, understand that to properly answer that question, I’d need to as a few questions of my own: What’s your objective? Your timeline? Your budget? Are you buying for long-term […]

A List of Do’s and Don’ts to Property Purchasing

Family friends were looking to buy a home a few years ago. They were savvy enough to understand how important it was to buy in the right area > suburb > neighbourhood in order to achieve the greatest financial benefits from capital growth. But boy were they picky. They were initially unwilling to compromise on any […]

How will the 2017 Federal Budget Impact Property Investors?

Investor demand was massive in 2014, and for good reason… Interest rates were low and falling, the AUS$ was finally trending down, and house prices were climbing after a very rare downturn in 2011-2012. The market was heating up, and wise heads feared that we’d all get burned. In December 2014, APRA wrote to lenders warning […]

How to Make $340k in 12 Months

Walter emailed me in March last year, enquiring about our property development services. He’s an Australian citizen living overseas, and is widely experienced in property development across the globe. Intending to settle back in Melbourne in a few year’s time, Walter (not his real name – he’s a private guy) wanted to get some projects […]

The Different Seasons of Melbourne Property – When is the best time to Buy/Sell?

In Melbourne, more properties are listed for sale in Spring than in Winter. Regardless of the reasons, it’s a basic fact in the residential market – more vendors choose to list in the months leading into Christmas than in any other period. But serious buyers don’t generally take a ‘holiday’ from property inspections just because the […]