Thinking About Sub-dividing and Building Another House On Your Block?

Subdividing can be a great way to profit by creating another dwelling, but it also attracts complexities and expenses of its own. Here are the top factors to consider.

  • Published: 17/07/2021
  • Company: homeshelf.com.au

If you’ve got a large block on your hands, you may be considering sub-dividing it to create another dwelling for rental or sale. 

But before you go gung-ho with the building plans, there are some important considerations to make when deciding if sub-dividing is feasible for your circumstances.


checking land size for developement
Source: Little Fish Property Developments


Before You Get Started

Is your block big enough?

While you may feel as though your block is perfectly equipped to handle two dwellings, it's not quite that simple. Local regulations will actually determine whether or not you can build an additional home.

Start by contacting your local council and checking the zoning of your block to see if another dwelling is feasible. Also ask for your title, sewer information, legal point of discharge and any other building information.

Having these documents on hand will become a huge advantage when it comes to the next stage of planning & design.


Talk to an expert

Once you’ve armed yourself with all the necessary documentation for your lot, you’ll need to get a town planner and drafter on board. These professionals will take you through the entire process of town planning approval, designing & preparing plans.

This is a crucial step to obtaining council approval, or a ‘planning permit’ as it is known. To lodge an application for council approval, your town planner will be required to design a house for the proposed sub-division area.


building townhouse Woodsman Projects
Source: Woodsman Projects


Building a Townhouse

Build costs

Sub-dividing logistics aside, let’s look at the cost of erecting a new home. Build costs for units and townhouses are pretty comparable to similar-sized stand alone homes. However, the quality of finish you opt for, plus site costs and additional costs can greatly impact your final price.

The planning process will attract additional costs depending on the layout of your block. 

If there’s a slope, retaining walls, stormwater drainage, driveways, landscaping, or fencing this will all have to be planned out.

Another tricky factor to keep in mind is the access to the sub-divided lot. If your current house obscures direct access to the lot, then you may face additional charges for crane hire and delivery delays.

If you’re looking to source a quote before you seek council approval, you may encounter some resistance. Unfortunately, the majority of builders that provide development or townhouse builds prefer you to already have the plans and council approval before they will provide a quote.

However, there are some custom builders that will take you through the whole process.

Where to find a builder

Where can you find a builder to bring your vision to life? Homeshelf is your one-stop shop for home designs, house plans & builders, showcasing an extensive range of Australia’s leading builders.

Get in contact with Homeshelf’s friend team if you have any questions about a development build in your area.