Projectfacilitator Blog

How to make your first property development and subdivision a SUCCESS!

1. Whether you are looking to develop a property in Victoria, NSW or Queensland, the fundamentals are the same.

2. Selecting the right suburb requires patience and a lot of research. Find out important and key property market information about the suburb, particularly what has been happening in the area in the last 10 years, what trends have taken shape and what the vibe of the area is?
Consider change in demographics over the years, and what this means to the local property economy. Check with the local council and see if there are any future plans for the area, such as upgrades to roads, future proposals for new shopping centres, children centres, changes to planning controls etc.

3. Majority of people talk about wanting to get into the property development game for years and years, I have seen this first hand with many of my friends and family. But, they never act on their desire, why? It comes down to not having the belief and confidence to make this decision. The reason they feel this way is that they have not educated themselves about property development. The best way to gain confidence is to know your subject very well. A few ways you can tackle this is by, attending short courses on building, real estate etc. Read books on the topic, magazines, search the internet for further educational tools.

4. Surround yourself with successful and positive friends & family. This will give you the confidence and energy that with the right frame of mind and positive attitude that you can do this.

5. In my experience, people never embark on the idea of property development because they fear failure. Well, let me share something with you. Over many years doing my own property development projects and managing projects from start to finish for clients, there have been many mistakes we have made. And for this reason, we have learnt what not to do, and how to make property development a success. In other words, if you do not experience failure, how can you know what it takes to make a development a success?

6. Another key aspect of site selection, is conducting a feasibility analysis on every property development opportunity that comes your way. Your feasibility study should identify, re-sale value of townhouses or apartments, the likely cost of construction, holding costs such as borrowing costs and utility costs, other development costs you are likely to incur from start to finish resulting in a potential profit margin on completion of the project.

 

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