I think the best investment one can ever make, is in buying a house or land, and for those of us who are knowledgeable of the real estate industry, we know of subdividing. Subdividing is simply the splitting up of a large land into smaller sizes, which typically results in sale or lease of the smaller sizes. How many of us here live on subdivided land and that are some of the challenges that you face and, how many of us here have subdivided land for sale or lease?
I love this idea, never thought about doing it with land but I did think about doing it with houses/apartments. In cities with a lot of students there is a demand for cheap accomodation, so why not rent out that big apartment to 3 students (each having their own room + common spaces like kitchen and bathroom) instead of renting the whole thing to one family?
Subdivision is really not a great way to think about investment in property. If the property as a whole is taken care of then it can be done in a better way.
Subdivison can be a great way to maximise your income. Larger properties near places like universities and hospitals can be split into two or three apartments. Students are always looking for cheap rentals and are prepared to compromise on space. In the UK, this type of cheap accomodation is also popular with those who receive government assistance with their rent. Because this assistance is paid directly to the landlord, it's a guaranteed money spinner (as long as the tenant doesn't wreck the place). The only real challenges in doing this is having the utility supplies individually metered.
I would think that if you buy a really huge piece of land then you could make not only sell the small pieces faster but you could also make more money from. When I lived in some city, there was this company that had bought a lot of land in the suburbs. From time to time they'd sell some of the land they owned but each year, the prices kept rising. And this was good for them because they'd tell their prospective customers how the land's value would keep appreciating each year. People fell for that kind of stuff.
I think if you decide to go this route you have to be really careful about how you go about the sale or lease of the land. There are quite a few companies that specialize in building on one portion of the land then selling parcels to potential buyers while hiking up the prices based on the land value estimated by the success of the business/ housing they have built. If you decide to invest in that venture I suggest you work with a local contracting company and perhaps build a small apartment complex or discuss the construction of a shopping plaza, allowing you to lease or sell the land for the construction. Better return overall.
In larger projects this is of course necessary but in that case these are probably separate apartments and it shouldn't be a big issue, though installing the systems might cost a little. In smaller scenarios (such as renting out individual rooms) I don't think it matters since people use the same showers and sinks anyway for the most part.
My flat could not be divided, it's small enough as it is, but some huge places can be divided for sure and generate more income. I would not like to live in a place with a common bathroom, no way.
I do not think living is a place with common bathroom is definitely worth it. I think it is quite awesome and I definitely believe that they are cool to have your own bathroom.
I believe subdividing the property is really sad thing to do. It feels quite different and weird when a particular property is subdivided. It is quite sad .
