Maybe you’ve thought about subdividing, but put the idea in the too hard basket? Subdividing your existing section and building a new home gives you a range of options. You could:
- Sell the section, pay off your mortgage
- Live in one house, sell the other
- Live in one house, rent the other
- Sell them both
- Rent them both and go travelling!
This is the decision Maxine and Peter made when they decided to build a second property on the back of their home. With a very tricky area and a strict budget they came to G.J. Gardner and relied on our experience to come up with a design to overcome the various restrictions and build within their budget. The final house has defied all expectations, has the ‘wow’ factor they hoped for and sold for more than expected.
“GJ’s customer service throughout the build was impeccable, answering any and every query efficiently and succinctly. The build gave us no stress whatsoever! I could not recommend this team more highly.”
Many older homes in New Zealand were built on large sites, and the houses were often positioned at one end or corner of the section in order to create a big outdoor space with a huge lawn and gardens. But with today’s busy lifestyles, there comes a time when mowing lawns and trimming hedges gets in the way of doing the things you enjoy most.
If your home is on a large section, there’s a good chance you could build a second home on the same site. Or relocate your old house and build several new ones.
At GJ’s we have a great deal of experience working with councils, surveyors, geotechnical engineers and such like, and we have local knowledge as well so we can confidently advise on the subdivision potential of your section.
With many houses on large, valuable sites, you may recover the cost of any development plus make a profit when you sell one or both homes.
What is subdividing:
Subdividing is where land is divided into two or more lots and a separate legal title is established for each of the new sections created. There are three common types of titles; Fee simple, Unit titles and Cross-lease.
Can my section be subdivided?
Whether or not you can subdivide your section depends on a number of factors, but the key one is your local council’s district plan, which sets out rules about subdivision and the standards that need to be met.
Other factors are:
- The size of your property
- Condition of the land – slope, stability or prone to hazards (e.g. flooding, erosion or contamination)
- Whether new services such as storm water or wastewater drainage is necessary or if existing pipes may need to be upgraded
- Accessibility to the site, vehicle access, parking and manoeuvering
- Financial viability of the project which is influenced by three broad costs:
- Contribution and service costs
- Consultancy and professional fees
- Physical works on site
If you think this might be the option for you, call us to discuss your options. We offer a no obligation Property Development Appraisal to help assess the possibility of subdividing your property. We can guide you through initial assessment, project design, consenting, construction and post construction. Get started with GJ’s today!