Property development is an industry that is commonly taken up as an extra line of income for those who have a half decent amount of money available to invest. It can be a very profitable line of business and with the right attitude and planning you could be earning a sweet little profit.
What Scale Of Development Are You Looking To Build
How much are you looking to earn from your property development venture and how much time do you have to devote to it? These two things can be directly linked when trying to plan things out. It's a time consuming venture to be building property so it's important to consider this when deciding on what number of properties you are looking to develop. It's important to remember that property development is a time-consuming endeavour and the more you take on the more it's going to take over every other aspect of your life.
Is It Housing Or Commercial Real Estate
There are some ways in which commercial property is a more attractive proposition than residential builds as the returns can be higher and if you are leasing them out then it can be long term leases that businesses tend to sign. On the other hand commercial property is more susceptible to economic fluctuations and if the area has a sudden downturn you could find that your tenants abruptly go out of business leaving you with expensive units sitting unfilled which you obviously wouldn't want at all.
Where Is The Best (And Most Profitable) Location
You need to be sure you've chosen the correct location for the type and style of the particular development you are building. Use a quality, reputable tool for researching the best development locations to make sure you are going to get a good, profitable return on your investment.
Getting The Correct Team On Board
It is vitally important to get the correct people on board to make your development a real success. You want to ensure that the architect is first on board, once you have that then the contractors can be hired. It's important in all these hires to check references, see examples of previous work and get a feel for whether or not you can work with them. Another thought is to perhaps get a good project manager on board to oversee everything and ensure that budgets and schedules are kept, this expense will almost certainly save you money in the long term.
Making The Sale
You may have done everything else right but of you don't get the sales and marketing spot on you could be sitting with your assets tied up in a development that sitting there doing nothing for you. Like any sale it's presentation that is the key have it photographed well and ensure you outline the key features in any brochures you have made up or any online listings and your development will stand out to potential buyers.