Buying guide
Getting into property development
Read this before you get started
Last updated: 2 September 2024
AI summary
Thinking of becoming a property developer? It's a complex, high-risk venture requiring extensive research and a team of professionals, not a get-rich-quick scheme.
Before starting, ensure you have substantial capital, as banks often require a 30-35% deposit on total costs. Key financial considerations include:
- Aiming for a final profit margin of 18-25%
- Securing a building contract with mostly fixed costs
Experts recommend starting with a small project, like subdividing your property, to build skills and experience.
But first, what does property development involve?
Get educated
What type of deveoment would you build?
Make sure you have the necessary capital
Learn to spot and evaluate an opportunity
Value
Costs
Property development is difficult and risky, but the rewards can be huge.
Understand the numbers
Start small and get your skills up
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