Dumps on Stumps – traps for the unwary

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But these horrors may be worth a fortune

There have been a number of recent stories published along these lines that have attracted our attention recently some of which we will re-publish here FYI. It’s not unusual for us here at SCM to be approached by potential clients thinking that they can simply buy these sorts of properties and set about demolishing what they see as an unliveable dump with a view to building their ‘Dream Home’.

Whilst we can understand why they might think along those lines and we can empathise with them, very often they are in for a nasty surprise. Yes, they may be ‘worth a fortune’ if you can do what you want or they may cost a small fortune trying to gain planning permission to do what you want.

Annerley original
A thorn between 2 roses? Or is it a beast between 2 beauties? An Annerley “Original”

We are currently working on getting a home in Annerley, a near city suburb on Brisbane’s south side, to be removed / demolished. Yes, the original home was built prior to 1946 but looks totally out of character to the surrounding traditional homes. I’ve no doubt that neighbours would be pleased to see it go. At some stage in its existence it was owned by an immigrant family and transformed into a modern brick home complete with concrete balustrades reminiscent of those homes found back in their homeland. Yes, it’s as solid as a rock, the proverbial ‘brick —-house’ you might say. I daresay that the previous owner was a Bricklayer or Concreter. It’s almost impossible to find any components of the original home, yet notwithstanding, gaining permission to remove this home will be an expensive exercise, probably in the vicinity of $25,000 with no guarantee of success.

Homes affected by these planning regulations are sold all the time but not always with any warning. It’s Caveat Emptor – let the buyer beware. At least in these stories below there was some disclosure. If you need any assistance surrounding a property you own or are considering buying please feel free to give us a call.

“Dutton Park dump attracts online surge”

By Alistair Walsh, Domain Reporter July 31st 2015:

Buying the worst house in the best street has reached a new level with the listing of decrepit Dutton Park Queenslander.

“There’s no way to sugar-coat this,” the advertising reads. The floor has caved in, the Verandah has collapsed and the walls are patch-work of rotting timber.But if you want to knock it down you’ll have to apply for special permission – anything built before 1946 in Brisbane needs council approval before the wreckers can move in.

“Structurally it’s pretty compromised. It’s in such bad condition you’re going to have a pretty strong argument to remove the property. ” agent  to read more click here

“Dumps On Stumps”

  • The Courier-Mail
  • 7 Mar 2015
  • SOPHIE FOSTER KIERAN ROONEY

THE paint’s peeled, it leaks like a sieve, and is basically unliveable, but this ramshackle house in suburban Brisbane sold at auction for over $1 million.

Owners Carolyn and Damien Negus were the first to admit it was “the worst house in the best street”, but even they were never dreamt their 81 Watson St property in inner northwest Newmarket would fetch $1.275 million at auction.

The final price was more than $200,000 higher than the best price that the Negus family thought it might attract – proof that owners of derelict houses in prime Brisbane locations could be sitting on a small fortune in a booming real estate market. to read more click here

FOOTNOTE: Update August 24th.

A weekend auction in Brisbane’s Dutton Park points to Queensland’s capital pushing past reserves in much the same way Sydney and Melbourne have been doing for some time.

There’s been much talk – for at least two years now – of the Queensland market taking over the mantle from Victoria and New South Wales, after those markets reach boiling point. While that point has yet to be reached, it does seem as though they’re slowing, and the evidence from the weekend would suggest that the market in Brisbane is extremely hot.

The auction for 50 Deighton Road attracted a large amount of interest, not only because of the site’s position just 2.5 kilometres from the CBD, but also the tragic state of the building that still stands (just!) at the address.

The house itself is in such a state of disrepair that it’s uninhabitable – indeed, it’s structurally unsafe to enter – but that didn’t stop it realising $168,000 over its reserve, fetching an impressive $668,000.

That surprising price, however, is still considerably less than the suburb’s median house price, currently $757,000. (courtesy API magazine)

Footnote:

February 2016:

We have received approval to demolish the brick home in Annerley featured above

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