You can Profit from Property Investing if you know how

Posted by Colin Ferguson

September 17, 2008

by Paul T. Robertson

What is the way to make a profit from property investment? First and foremost you need to find an area to invest in - one with a real estate market which offers steady growth; a place like Brisbane, Australia. After you have found the region where you want to invest, the next three steps are these: First, decide on your investment objectives, secure financing and form a relationship with real estate agents. Second, follow through on ten important steps - you’ll find those later in this article. Third, get in touch with turnkey property management services.

1. Determine your Objective and strategy:

Many people purchase a property without fully thinking it through. They may buy it because it looks good or it is in a good location even though it may not fit with their current objective.

However, it is important to know what your aim is for the property you are looking at. Are you looking to conquer and divide and make profit on the sale of portions of the original property? Or are you looking to invest on the property for commercial reasons, say for rental units?

The amount of time needed to develop the property should also be considered. You have to know how long it will take to develop this property and whether this time fits into your overall objectives.

2. Establish your funding:

You will need financing which has to not only be at a price which fits into your plans but is also if the correct type. While saving money is important, you also have to make sure that your funding will be such that you can either sell or hang onto the property for as long as needed to meet your goals.

There are two types of financing to consider here. There is consumer financing or developer financing. Depending on your goals for the property in question, one or the other may be better - you should discuss this with your financial advisor.

3. Establish relationships with selling agents:

You need to find estate agents that know a bit about property development. Developing a relationship with one won’t be easy since not many real estate agents know much about property development. You need ones that will introduce you to the right sites. If you find a really good agent they may be able to show you sites that have not even reached mass market yet. Therefore, establishing a good rapport with the right agents can mean the best investment opportunities for you.

2. Follow Step one through with:

Developing a preliminary feasibility assessment.

Researching and assessing prospective site(s).

Negotiating for and securing sites.

Conduct due diligence.

Secure presales, funding and consultants / contractors.

Obtain Development Approval.

Conduct Operational Works.

Construction.

Sealing & Titles.

Sales and settlement.

3. The all important step: Getting in contact with a “turnkey” project management service

As a property development investor, having a turnkey property management service in your corner is essential. These professionals already know how to handle all of the many complex steps involved in developing a property; so you don’t have to put all of your time into researching these complicated issues. This will mean saving something even more valuable than your money: your time! An expert turnkey property management service can get you a much better return on your investment and can make all the difference in the world to your investments.

The property development process is complex; if you are new to this sort of investment, having the right people on your side is crucial. Developing properties as an investment takes a lot of time, money and skills. To be profitable, you’ll need a plan - and some professional advice.

If you really want in on the great deals in Australia and if you truly want to invest in multiple properties and especially if you want to diversify the types of properties in your portfolio, you need to invest in the quality and expertise of a qualified property management system with people who get to know you and who know the people who will provide you with all the services you need.

About the Author:

About the author: Paul T. Robertson shares secrets of property developers, Brisbane and you can learn further by going to the website that contains expert advice concerning Brisbane property investment.

Share and Enjoy: These icons link to social bookmarking sites where readers can share and discover new web pages.