Do you own a house, unoccupied land or any other form of property? You may be wondering the best ways to get profit from this or to add value to it. Well, real estate is one of the best and most significant investments you can make, and it has proven to be one of the most successful methods to build wealth year after year.
Most landowners subdivide their property for one of two reasons: to sell a portion of it profitably or to divide it among family members. Subdividing properties to boost the value of the land is a common practice among real estate investors.
There is no one-size-fits-all method for subdividing a property. The norms and legislation differ from one state, city, town or district to the next, and the request must be approved by local officials. The decision is usually based on considerations, such as the property’s location, local zoning rules, the size and form of the property, the position of any dwellings or buildings on the property and access to utilities like water and sewer.
Furthermore, in Victoria, a subdivision planning permit is required from a local council and the plan needs to be signed by a licensed surveyor.
Read on the blog to learn more about subdividing land.
What Is a Subdivision?
When a property developer divides a huge block of land into many smaller chunks, this is known as a subdivision.
When many blocks are combined into one larger block or a boundary between two blocks is moved, this is referred to as a subdivision.
These blocks or lots are then sold to a property developer, either separately or in multiple lots. The developer will then generally construct a number of homes and sell them individually or as home and land packages.
How To Subdivide Land?
- Call Your Local Planning Office
To learn more about how the subdivision process works in your region and to check for restrictions, contact your town planning, zoning and/or development agency. You can try looking for this information on the websites of some cities, municipalities or districts first. This phase should help you figure out if your property is suitable for development.
- Talk to A Specialist
Before you proceed, consult a town planner, a property lawyer or a subdivision specialist. Restrictions and prices have risen dramatically in recent years, so thoroughly researching your alternatives before committing to a subdividing is important.
- Hire A Surveyor
Next, you’ll need to employ surveying and/or engineering firm to survey the land and create a plat. A plat is a surveyed land map that shows property lines, access rights-of-way, flood zones, easements and other features. A surveying agency may also tell you whether or not your property is suitable for subdivision; nevertheless, even if there are problems, you can still go ahead with the process.
- Submit the Application
It’s now time to send in your application and wait for a reply. The application must usually be accompanied by a plat map, a certificate of title and an application fee.
- Wait for The Response
You will get a response from the council. In some areas, the planning board or a similar council will decide whether to approve the subdivision during a routine meeting. In other areas, the issue must go to a public hearing through VCAT appeals. After the planning board has approved your request, you can obtain certification. This verifies that all of the requirements have been met.
You should then get new titles because your property is now subdivided.
After that, it is possible to commence engineering design and the installation of new services and access points. The new boundary pegs will also be installed by your surveying company.
Some companies do manage subdivisions, but they are expensive and may be prohibitive. A qualified surveyor can spot or prevent mistakes that might cause months of delay in approval, as well as provide all the advice and assistance needed to manage the subdivision planning as cheaply as possible.