All About Easements | Basic of Property Investment | Property Investment in Melbourne Australia

October 16th, 2023

When you’re delving into the world of property investment, there’s more to consider than just the location and aesthetics of the land. It’s essential to understand all the nuances that can affect your investment, and one such crucial aspect is easements. In this guide, we’ll unravel the mysteries of easements, helping you make informed decisions in your property investment journey.

Understanding Easements

An easement is a right that allows someone else to use or access a part of your property for a specific purpose. If you’re eyeing a block of land and spot a dotted line on the plan of subdivisions, you’ve just encountered an easement. This seemingly innocuous line can have a significant impact on your investment.

Typically, easements in Melbourne, Australia, are about 2 to 4 meters wide, with 3 meters being the standard. But what’s the big deal about this seemingly insignificant strip of land?

The Significance of Easements

Easements, although small in width, have a considerable impact on what you can do with your property. Before you purchase a block of land, you must consider the type of house you plan to build. Easements come with guidelines from the councils that restrict construction on this land. You may own the entire block, but that 3-meter-wide strip along the back is off-limits for permanent structures.

This restriction means you must carefully evaluate whether your dream home’s design fits within the boundaries of the easement. Failure to do so could lead to disappointment down the road when your builder informs you that the house you envisioned is not feasible on that particular block.

Choosing the Right Block

When considering a property with an easement, remember to consult with your builder. They can advise you on whether your dream home can be built on the land without violating the easement restrictions. Avoid the common pitfall of hastily purchasing a block and later discovering that your desired 27-square house is unattainable due to the presence of an easement. Ensuring your chosen design aligns with the easement’s constraints is crucial to making a wise investment.

Types of Easements

While easements are typically located at the back of the block, they can also be situated on the side. When an easement is on the side of the block, it poses additional challenges to constructing a desirable house. Therefore, you must be even more meticulous in your assessment when encountering a side easement.

In essence, an easement is an area within your property where you cannot build fixed structures. While you may engage in gardening or set up temporary structures in this space, permanent constructions are a no-go. Whether it’s at the back or on the side of your block, understanding and factoring in easements is a critical part of your property investment journey.

Property investment in Melbourne, Australia, offers a world of opportunities, but success hinges on comprehensive knowledge and careful consideration of factors like easements. By taking these insights to heart, you can make well-informed decisions and safeguard your investment.

Invest wisely, and remember that Empire 8 Property is here to guide you every step of the way. Make informed choices and watch your property investment dreams come to life.