6 Steps to Property Development Success

Last week we were talking about what it takes to become a property developer and asking whether you were cut out for it. If you missed it, you can catch up here.

We promised you that we'd break down the steps it takes to become a successful property developer.

True to our word, here they are!

1. The Goal

Not so much your goal, but what's the goal for the site. Do you want to sell it once you've developed it? Will it be a build to rent scheme?

What sort of site are you looking for? Do you want a commercial to residential conversion or are you looking for a "ground up" development?

Get really clear on this as your starting point.

2. Your Business Plan

This is going to need to be watertight, so let's break it down.

Yep, if you've been here a while, you'll know we love a SWOT analysis! Remember - Strengths, Weaknesses, Opportunities, Threats.

Undertake market research. Identify your target audience and understand the local market.

Funding Strategy. Explore financing options like bridging loans, mortgages, or private lenders.

Power Team. We really couldn't do it alone. We have an amazing team supporting us every step of the way! Identify and secure the expertise you'll need (contractors, architects, etc.).

Marketing and Sales Plan. Once you've decided on your strategy, develop your marketing plan to reach your target audience effectively.

3. Funding

This one is pretty crucial... Explore all of the options, analyse the risk profile and work to secure the funding that you need for your development.

4. Research!

Identify your target locations and refine your approach to narrow down any sites with high development potential. Don't forget to take into consideration things like planning restrictions, conservation areas or listed building restrictions. (Trust us on this one...!)

Understanding your ideal buyer or tenant also helps to refine potential sites. Get really clear on this!

5. Buy Smart

Resist the temptation to overpay. Focus on acquiring property with high value-adding potential... Even if it means you have to be a little patient!

6. Develop your Vision

If you're looking at conversions, focus on enhancing the value by strategic renovations. This can also yield a really unique result that could set you apart from "cookie cutter" developers.