Tips for Property Development Success (& Property Development Courses)
Get Started - Do your homework and learn from others. Look at how other people have manged projects and learn from their mistakes. Go on a course. There are many property development courses, but we do recommend a one day property seminar which we personally have been to many times. Click here to check it out
Educate yourself - knowledge is power, But always remember that you do need to do the research yourself. Everyone has their own examples and their own stories.
Where to develop? Look for an area that is going through a growth phase. Look at where the population is expanding and where there is a demand for rental homes. Perhaps there is a new factory being developed or some reason for many people to move to that area.
Always look for the amenities that people need. Families need schools, public transport and shops. With the cost of living rising people use public transport, and if you cant use public transport to get to the shops or the schools then you may have just lost yourself some valuable renters.
Read council development plans. These will tell you what is planned for the future and how much they have to spend in that area.
Ensure you have finance, or the ability to speak to financiers at an early stage. You both need to know where the other stands. You need each other! If you are utilising the banks then ensure you know what you are presenting them, the plan, the ROI and the security you can offer them. They will be cautious with you if you havent done any property development before.
Ensure you also have enough money to see you through after the property is developed. It may take a number of months to actually rent your property.
Next you must ensure that you speak with your local council to ensure you can build and subdivide or whatever your plans for the property may be. This must be approved before you commit to buy. Is there anything stopping you building where you are building? Trees that cant be knocked down, or new roads they are planning on building? After you have satisfied yourself that you can build where you want you need to ascertain exactly what you can build. It is then down to the surveyor who will help you map out the block, including plans for subdivision. These plans will then be submitted for approval.
Other things to consider when building your property development is the new versus the old. This will have an impact on stamp duties, taxes, approvals and obviously costs.
So there is alot to think about, alot to learn and research before jumping into anything of significant value. Do your homework and go along to some property development courses where you can.
Tags: property development courses, property development success