Karen Baldwin – Flagstaff Hill, SA

Property Development Graduate


Karen found this deal the day after setting her 5-week challenge. It was a local agent who needed to sell quickly to finalise his divorce settlement. The owner was insistent on a bottom line of $500,000. After doing the calculations, Karen made an offer the following morning at $501,000 cash unconditional. The contract was signed that afternoon and Karen was able to secure the deal. The property didn’t stack up as a renovation, so Karen decided to do a land subdivisions instead, which made her a combined profit of $45,500.


The Numbers

These cost include estimated cost of development and estimated profits.

Expenses Cost
Purchase price $501,000
Purchase costs $26,500
Subdivision/demolition/contingency/holding $42,000
Finance costs $15,000
Total cost $584,500
Resale (2 x $315,000) $630,000
Profit $45,500
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