Hi Georgia,
Thanks for running your numbers through our calculator. Here's the full, line-by-line version of the feasibility you just modelled, plus the checklist we run over every site before we commit.
Your deal: 3 townhouses
| Site purchase price | $750,000 |
| Acquisition costs (stamp duty, legals) | $45,000 |
| Construction (3 × $420,000) | $1,260,000 |
| Consultants & approvals | $100,800 |
| Finance & holding costs | $120,600 |
| Contingency | $63,000 |
| Selling & marketing | $75,000 |
| Total development cost | $2,414,400 |
| Revenue (3 × $1,000,000) | $3,000,000 |
| Estimated profit | $585,600 |
| Return on cost | 24.3% |
Example figures shown — your report is generated from the numbers you entered.
How yours stacks up: most developers aim for a return on cost of at least 20%. This deal sits at 24.3%, so it has a healthy buffer. The three levers that move this number most are your site price, your build efficiency, and your realistic end sale values — sharpen any of those and the margin follows.
Your site checklist
Before you commit to any site, run it past this. It's the difference between a smooth project and an expensive lesson.
1. Planning & title
- Zoning allows your intended use, and the minimum lot size + frontage work
- Check overlays: flood, bushfire, heritage, character, environmental
- Easements and covenants on the title
- Setbacks, height limits, site coverage and landscaping rules
2. Physical & servicing
- Sewer, stormwater, water and power are available and connectable
- Site slope, soil and any contamination or significant trees
- Access and frontage width for your design (and any demolition)
3. The numbers
- End values backed by recent comparable sales, not hope
- Build costs verified (quotes), not guessed
- All soft costs in: consultants, approvals, finance, holding, selling
- A real contingency (5–10%) and GST / margin scheme accounted for
- Return on cost hits your target (20%+)
4. Finance & exit
- Serviceability / equity and any pre-sale requirements confirmed
- Exit strategy (sell vs hold) and ownership structure decided up front — with the right lawyer and accountant
- Walk-away conditions in the contract before you go unconditional
Want to learn how to run a real feasibility?
Join our free masterclass on Saturday 15 August — the full property development process, site to settlement.
Save my free seatAny questions, just hit reply — we read every one.
Hilary & Bob
Property Mastermind
