Retain-Reno Front with Subdivide, Build, Flip Rear
Purchase price:
$480,000
Bank borrowing 80%:
$384,000
Deposit 20%:
$96,000
Purchase cost 5% (stamp duty, conveyancing, etc):
$24,000
Subdivision + reno cost:
$70,000
Holding cost:
$18,000
Build cost:
$180,000
Selling agent cost (fixed):
$10,000
TOTAL INVESTED CASH:
$398,000
TOTAL PROJECT:
$782,000
Projected selling price front:
$480,000
Projected selling price rear:
$550,000
TOTAL REVENUE:
$1,030,000
PROFIT:
$248,000
R-O-I:
$248,000/$398,000 = 62.31% in 12 months*
* Projected profit is as per today's Comparable Market Analysis
