If you are planning to invest your time and money in developing residential property or refurbishing an existing one, you may need help from the experts. You will also need to do a lot of research online and on the ground to come up with the best method to succeed.
FIRST AND FOREMOST…..LOCATION MATTERS
A good location does not necessarily mean venturing into the middle of the central business district of your area; this may be costly and would bear less profits for you. Think out of the box and look into the fringes of a good area which in time can become part of the perfect locations.
The major signs of promising areas include near schools, public transport facilities and green areas are essential when it comes to selling the property later on.
DO YOUR RESEARCH
Property development is a risky business and you don’t want to put your money where there will be no profits.In fact if you are not careful you may end up living in debts for the rest of your life since most developers rely on loans for their businesses.
Find out in general the worthiness of property in that area, cost of refurbishments and if there are any restricting laws or existing stamp duties that may affect your project.
It’s possible to get some excellent deals on residential development finance if you look in the right places. Find someone who fits in with your goals and this can be an excellent stepping stone in the project.
BARGAIN FOR LESS
It is essential to pay the right amount for the property, try and negotiate to knock off some dollars off the asking price as this ‘extra dollars’ will go along way into developing the property and will increase your profit margin.
LOOK UP FOR AUCTIONS
Be on the lookout for public auctions because it is the best place to pick up a bargain.Don’t get carried away by the emotions, set a limit and don’t get carried with winning whatsoever. It is like games of poker only this time you get seeeveryone’s hand before it goes up. Remember the auctioneers are keen to sell so take advantage.
CHECK OUT THAT TINY AD AT THE BACK OF THE NEWSPAPER
In the property business you will need to buy from a motivated seller who wants to sell quickly.Estate agents always have an idea on why the property is on sale. Out of desperation of a rough divorce or moving abroad people want to sell quickly and even try to do it themselves, so those tiny ads may mean a lot to you.
When you are not particularly doing anything, get into your car and explore around, who knows some of the best properties may be right under your nose. Some of the dilapidated property you see around may have been trying to sell for years. You may be surprised to knock on one of the doors and find owners who have gave up on the selling; you might get some of the best deals from them.
ALWAYS WATCH THE MARKET
Market values of properties keep fluctuating depending on demand, supply, politics, unemployment and other factors depending on the location.Always make sure you are up to date with what’s going on so that you can plan ahead.
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