Our Process
Understanding our robust and proven process
Our commitment to education
Meet our experienced team
01
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Finance
Unless you’re self-funding the project, finance is the key. Without it, the project can’t progress. The first step is determining your lending capability and solution through our lending specialists.
In most cases, you’ll require a commercial lending solution – which will have a completely different assessment criteria versus residential lending. While rooming houses sit on residential land, lenders view them similar to a business, therefore requiring a commercial lending solution.
02
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Land Sourcing
We can help you source an appropriate site in a preferred location that enables the building of a rooming house without requiring a planning permit. Our comprehensive due diligence process mitigates risk by thoroughly assessing a potential site’s ability to meet the required planning provisions and any planning controls and their conditions.
If you already own a site, we follow the same site assessment criteria.
03
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Builder Engagement
Building a rooming house is not like building a standard residential home. There are many factors to consider, some of which include:
- Compliance
- Efficiency of design and space
- Livability
- Quality
Our panel of trusted, knowledgeable and experienced builders specialise in rooming house projects.
04
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Design and Preliminary Works
Unlike standard residential builds, our builders complete the design and preliminary works (DPW) required in preparation to obtain the building permit before a build contract is signed, significantly mitigating your risk.
Rooming house projects can be complex, and as each stage of the DPW is completed the risk is reduced.
05
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Site Preparation
If there is an existing building on the property, we’ll need to demolish it and clear the site. This usually involves abolishing the utilities (electricity & gas) before the demolition can start, and the entire process can take up to 2 months to complete.
For sites with no existing buildings, we'll often need to scrape and clean the site in preparation for the build.
06
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Construction
The construction period involves all stages of the build from initial site works through to project completion, with build times varying between 8 to 12 months depending on the project size.
There is substantially more work involved in building rooming houses, and subsequently our builders will often include additional stages into the construction schedule to allow for this (which usually also needs to be approved by the lender).
At the end of construction and prior to handover, we recommend obtaining an independent building inspection which we can arrange.
07
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Property Management & Setup
We'll recommend a property manager that is experienced and can provide a specialised rooming house property management solution, which is crucial to the smooth operation of your investment and to maximise rental yields. There is significantly more work involved than traditional residential property, including a robust understanding of the Residential Tenancy Act relating to rooming houses.
Prior to handover and along with the property manager, we’ll assist you with setup including licensing, compliance, registration and other recommendations needed to operate and present a first-class rooming house to the market to attract quality tenants.
Insurance
There are very few insurance brokers that understand rooming houses, their insurance requirements and have access to an appropriate insurance product that is 'fit for purpose'. We'll refer you to our specialists leading up to completion to ensure your valuable asset is thoroughly protected.
Furniture
We'll refer you to specialists who can arrange customised and suitable furniture solutions to suit your budget, which can also include delivery and setup.
Depreciation report
After handover, we can arrange a depreciation schedule from a qualified quantity survey at a competitive rate. This report enables you to claim tax-deductible expenses that will help maximise the cashflow from your new rooming house.
Frequently Asked Questions
