There have already been a lot of individuals who have made it as property developers – and if you would like to be in the roster as well, then you should be aware of what works in property development – and what doesn’t. Having an awareness of the market and property potential is just the beginning; you also have to consider other factors and update yourself continuously. That being said, here are a few tips to making a success of your property development endeavours:
Take your time
You may be full of excitement contemplating various development projects and how you can make them work, but it is still better not to rush and simply take your time. Don’t be hasty in your decisions – make sure you get to know the market as well as the area you are interested in. Even if an estate agent puts pressure on you to purchase as soon as possible, don’t let this influence your decision. Real estate prices will fluctuate – so even if you weren’t able to make a deal on one, you can always find a deal on another one.
The right location makes a world of difference
Whilst you are looking around for the ideal property, you have to remember the importance of the right location. The fact is that even in a volatile real estate market, properties located in prime areas will always be rented out or sold. Some pointers to keep in mind: look for properties with ready and easy access to public transport, but you should also remember that some individuals value a property’s location in various ways. For instance, young office workers or students want convenient access to town, whilst a family with young children may want to live some distance from the main road.
Once you’ve found the right one, however…don’t be afraid to take the plunge
Once you have found the right property for development, don’t be slow in your decisions. Locate a good conveyancer who can work quickly and efficiently. If you need financing for your development project, make it a priority to look for the right lender. Property development finance specialists should be able to give you the right advice and recommendations on which funding options would work best for your needs.
Selling and renting
When you are looking at properties, it would be in your best interest to purchase property that is not only good for reselling, but for rental as well. This means that you should take into consideration whether the property has potential to be sold as well as simply rented out. This way, you have a better chance to make a profit. But it is also important to remember that these two – selling or renting – do not always go in the same path, as one market may rise whilst another may lose ground.
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