15 Jan Investors – the value of working with a trusted builder
Investing in property, whether as a part-time way to pay for a few extra things you’d love in your life, or as a full-time profession, can be a very lucrative pursuit. Property values tend to increase over time and so do rents, so no matter if it’s a regular income or a nest egg you’re after, property can provide it for you. However, it is a profession with a significant amount of risk attached to it – purchase the wrong property and you could be left with something unsellable, make the wrong renovation decisions and the value of your purchase could go down rather than up, or invest in land that does not have the potential you predicted and that’s money down the drain.
Add into the mix uncertain political, economic and pandemic factors and you are left with a good deal of downside that needs to be mitigated.
One way of doing this is to ensure that you are making the best decisions. No matter how knowledgeable you are about the market it makes sense to surround yourself with experts who can provide you with timely, trusted and insightful information that can help you to make better decisions in your property investing activities.
A good quality building firm should be somewhere at the top of this list.
A close working relationship between investor and builder can be incredibly rewarding for both parties. Imagine having a team on standby to provide design, planning and construction guidance ahead of a purchase – someone to act as a critical friend to verify your aspirations for a site or property and who can be relied upon to deliver what they say they will do, when they say they will do it, and to the quality standards you’re used to seeing from them.
As an investor you will have one primary goal: profit. Yes, you’ll have a litany of other lesser goals as well, which may have to do with quality of housing, offering people a nice place to live, supporting your family, being able to buy what you like when you like without being shackled to a nine-to-five, but realistically, your top priority should be to ensure that every purchase has the highest chance of making a profit.
Your trusted building firm can be relied upon for the following:
Better buying decisions
Which site to invest in is the starting point of a profitable or painful decision. Understanding, in intricate detail, the limitations and possibilities of a property or site can aid that decision, minimising the risks and maximising the inherent opportunities.
Better prospect analysis
Spotting the potential in an investment means knowing how you might be able to make the most profit by using innovative plans and designs, assessing the possibility of splitting dwellings, achieving planning permission for what you hope to achieve, and understanding reward vs risk on all these issues. It means knowing how to create a property people are drawn to spend more on. Being able to imagine what could be achieved alongside understanding what it would cost and how it would sell are valuable skills.
Better profit potential
The ability to make a profit in the property world comes from the ability to translate insightful profit-orientated plans into efficiently produced reality, with material sourcing, schedule adherence and reliability all mindful of the end goal. Rapid development, renovation or finessing will ensure a faster property turnaround to sale or occupancy, minimising the time the asset remains dormant.
Better maintenance plan
Once a property is up and running and let out to good tenants, it is vital to keep those tenants happy, so it’s important to have a team ready to swoop into action should any repairs or maintenance be required. That same team will be required to ‘tidy up’ the property between tenants, upgrade it, or prepare it for sale to make it worthy of the highest capital appreciation possible.