Oversized backyard turns an average house into a profitable mini-development

We purchased a scruffy 3-bedroom house in Mornington for one of our clients for $209,000. Before the purchase we identified that the house had a large enough back yard to permit the development of a second home.

Within 14 months, on the excess land we had built a brand new 2-bedroom townhouse with fully landscaped gardens and a new driveway for just $205,000. This new home was sold shortly after for $285,000.

At the same time, our renovation team worked on the existing house, installing a new kitchen, bathroom and laundry. We laid new carpets and re-painted inside and out for a total spend of $43,000. According to the bank, this increased the value of the existing house up to $255,000.

A sensational result for a busy client and a great fun project for our team.