CHOOSING YOUR HOME:
When selecting a home for your land, there are some important factors to consider.
Firstly, the style of existing homes in the area and whether the house you are considering will complement them and secondly, whether there are any covenants or local council regulations that may affect your choice.
The local council that governs the area you plan to relocate your home to will consider whether the house is aesthetically appropriate and may not approve homes that have the potential to negatively affect the value of nearby properties.
However, provided the home can be restored to a similar condition to other houses in the area, it is unlikely you will be prevented from relocating the house to your block of land.
FINANCING YOUR REMOVAL HOME:
Until recently, the removal home was generally available only to the home buyer who did not have to borrow to finance their dream. Today it is possible for even first home buyers to purchase a removal home and enjoy the great savings and other benefits of this housing option.
Unfortunately, however, financial institutions do not tend to release funds until the completion date: when the home is erected on the new site and has passed a final council inspection deeming it fit for habitation.
Therefore, you may need to look at a few different options such as:
*Using the equity in your block or another property to obtain finance;
*Speaking to your bank manager regarding whether they will agree to release funds in stages as per your contract;
*Sourcing the funds using a guarantor then converting to a low interest home loan upon final inspection.
FIRST HOME OWNERS GRANT :
Removal homes are now eligible for the first home owners grant, up until recently major renovations needed to be completed to the house to qualify for the first home owners grant. This is no longer the case, Removal homes are now recognised as a new building.
The recent public ruling states:
“A new home under s.6(2)(a) of the FHOG Act includes a house that has been moved from one site, and fixed as a home to a different site, so long as it has not been occupied or sold as a place of residence since being fixed to the new site.”
Once your home has been relocated and completed you are able to apply your self for the grant or through your bank. If you are applying directly to the Qld State Revenue Office you will need to provide the following infomation with your application:
- Final inspection certificate from the council
- Copy of the contract with us for purchase and delivery
- Copy of the title search
- Valuation of house and land once completed, which can be from a real-estate agent.
Check your eligibility on the Queensland Governments First Home Owners Grant website, remember to refer to your removal home as a ‘new build’
WHAT IS MY APPROVAL?
Before any house remover can transport a house, two formal approvals issued by a building certifier must have been obtained: the removal and/or demolition approval that allows the house to be removed from the block it is currently on, and the building approval that allows the house to be relocated to the desired site.
Procedures relating to obtaining an approval for your house to be relocated can be quite complex and will vary according to the particular council you are dealing with. The following list is a generic overview of possible council requirements relating to providing an approval:
*Colour photographs of the house;
*Plans showing the present location of the house;
*Preliminary site plans indicating the approximate position of the house on the new site;
*An inspection of the house;
*The filling out of an application form and payment of application fee;
*Structural engineer’s reports;
*The fitting of new roof and guttering if required;
*Cyclone rated roofing;
*Household pest spraying;
*Soil testing of the new site:
Highly reactive soils such as alluvial/clay and black soil could mean significant extra costs in foundation work. If you haven’t yet purchased your block of land, you should consider soil types and the positioning of your home before you buy.
Mackay & Sons House Removals do have contacts in the industry who are able to assist with arranging for both the removal and/or demolition approval and the building approval of the house you are relocating.
COSTS OF A REMOVAL HOME:
When you purchase a house from Mackay & Sons House Removals the contract price includes:
*Delivery within 100km of where the house is currently situated.
*A credit towards the re-stumping of the house, the amount of which varies depending on which house you are interested in (for details concerning a particular house, please ask the office staff).
*The payment of police escorts, pilot vehicle escorts and shire council road bonds associated with Extra Ordinary Traffic Permits.
OTHER POSSIBLE COSTS:
*Soils tests, Engineering Reports and Plans. Septic design and all council lodgment fees. We recommend Dowse & Co for all your building design requirements.
*Reconnections of Power and Plumbing
*Reroofing your home and cyclone proofing to W41
*Local council completion bond.
Owners are required to pay a bond to ensure that submitted and approved plans are adhered to and all nominated work is completed. The amount of bond varies with each council. Bonds can be secured with cash, but more often a bank guarantee can be used. These, however, can take some time to set up so it is a good idea to discuss the payment of this bond with your financial institution.
*When your draftsperson has completed drawing up plans for the house, some of the drawings will relate directly to the re-stumping of the house. Depending on the stump height, depth, materials used and the suburb the house is being delivered to, the re-stumping may amount to more than the value included in the contract;
*For moves outside a 100km radius; allow $35/km for a house traveling in one section and $50/km for a house traveling in two sections;
*Buildings with above-standard traveling height need special approval to travel from the local power authority, Optus and Telstra. Any or each of these authorities may also elect to supply vehicles to accompany the house as it’s being transported, potentially resulting in considerable extra costs;
*If during the course of a removal there is a need to lower traffic lights or trim trees, this is organized through the relevant council and is also an extra cost to the owner;
*Machinery hire fees such as drott work etc;
*Cost of providing access at the new site for truck and trailer;
*Costs associated with other conditions stipulated by council, which will vary with each individual home.
All our work is fully insured by Q.B.S.A. Our houses are fully insured while in storage, during transportation and until
they are lowered onto the foundations. We also have Public Liability on all of our jobs and worksites.
WHY CHOOSE A REMOVAL HOME?
Buying, moving and renovating a removal home does take time. However, it is still a fast way to be in your own home.
In addition, older homes – Queenslanders, Colonials and Workers Cottages in particular – can’t be built for the price you can buy a removal home; it is impossible to achieve that genuine look and feel of yesteryear when you build new. Removing a home is also an environmentally friendly option, as essentially you are recycling old timber. The re-sale value of classic old homes is also substantially higher than newer homes.
When you buy a removal home, you have the option to make it just livable or carry out complete renovations or anything in between depending on your taste and budget. There are so many possibilities!
Mackay and Sons House Removals would like to remind you that the removal/renovation process can be stressful. However, our experience in the industry tells us that if you are patient and allow yourself to enjoy the experience, the rewards are magnificent.
Good Luck in your search for the perfect home.