I've got some IP's with big sections (2 or 3 unit sites), and have been thinking about moving a small house or two on, and renting them out.
On the face of it, it seems that it will cost a lot less than buying another IP, and the rental income will be the same as buying another.
I was not intending to sud divide or cross lease, just add a dwelling (or two).
It won't affect the rental income from the existing house(s)
The properties are in areas which are moving up (Mt Wellington, Auckland), and I'm thinking that in 5-10 years, it will be worth building an expensive house(s) on the sites, and moving the small ones off.
I know that moving a house always costs a lot more than you think, but have seen houses for $10-15k, and can get them moved for under $15K. I know services etc will be expensive, but I can't see how it will cost more than $120K all up for 1 house, and you can't buy anything for under $250K in the same area.
Anyone got any thoughts on this? Should I just sit on the land and buy another IP?
On the face of it, it seems that it will cost a lot less than buying another IP, and the rental income will be the same as buying another.
I was not intending to sud divide or cross lease, just add a dwelling (or two).
It won't affect the rental income from the existing house(s)
The properties are in areas which are moving up (Mt Wellington, Auckland), and I'm thinking that in 5-10 years, it will be worth building an expensive house(s) on the sites, and moving the small ones off.
I know that moving a house always costs a lot more than you think, but have seen houses for $10-15k, and can get them moved for under $15K. I know services etc will be expensive, but I can't see how it will cost more than $120K all up for 1 house, and you can't buy anything for under $250K in the same area.
Anyone got any thoughts on this? Should I just sit on the land and buy another IP?


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