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Sarthak

Sarthak

Property Enthusiast, AUS

Rules to help make your property development project a success

16D ago 0 Replies 23 Views
1. Do careful pre-purchase due diligence
Don’t believe the selling agent when he tells you the property will make a great development site.
You need to undertake careful areas due diligence including checking the council zoning, as well specific property due diligence.

2. Get your budget right
Do a detailed feasibility study – be realistic rather than optimistic and include all the little costs beginners tend to forget.
Then allow a contingency in case unforeseen costs crop up, because they always will!
3. Don’t overpay
It’s important to buy your development site at a price that allows you to make a fair profit; otherwise you’re immediately at a disadvantage.
4. Get a good team around you
Your team is likely to involve a property lawyer, accountant, finance broker, architect, real estate agent and a project manager to oversee the whole process.
And remember…if you’re the smartest person in your team, you’re in trouble.
5. Be realistic about your schedule
It’s not unusual for developers to be overly optimistic with their scheduling.
Setting realistic time frames will help you budget more accurately and remember to set aside some contingency money in case unforeseen problems stretch your schedule.

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