Real Estate Blues: How to Plan Profitable Developments That Rake in Cash

Real estate development can become an extremely taxing and stressful job if you don’t handle it correctly. Thankfully, there are many real estate investment strategies that you can utilise, such as exploiting market conditions, which will improve your sales and profits if done correctly. However, those are big ideas that need to be implemented on a large scale.

Here is a concise guide on how to stretch your investments as far as possible. You won’t need to delve into market strategies or open a glossary of terms. These will be simple and straightforward tips that even a beginner can understand.

Refurbishment

One of the easiest ways to quickly make a profit on real estate is to buy a home that needs refurbishment or repairs. Many homeowners across the country will be looking for a quick sale on their homes because they’re either beyond repair or need to move in a hurry. These types of properties are an absolute steal and a quick Google or local directory search of “Cheap house for sale” will bring up hundreds of properties around you that are waiting to be snatched up.

It’s important that you take a look at the home and hire a professional to come with you to assess the damages and repair costs. It’s simple math from then. Add the cost of the repairs to the cost of the house that the homeowner is willing to sell it for and compare it to the cost of housing in the area and check if you have a goldmine on your hands.

Invest for the Future

Many locations around the country are brimming with low-cost houses and residential lots. They’re usually cheap because they are in newly developed areas or remote locations that don’t have many local amenities or travel services to offer. However, a popular location will undoubtedly receive state funding sooner or later to build rail services and amenities, and large corporations will swoop in to develop their brand names there as well.

Take advantage of this by checking for cheap housing areas, and do research to determine if in a few years time there will be more amenities and attractions in the area. You’ll need some connections to get access to the information you need, or you can use the power of the internet to look up state-planned Developments.

Targeted Development

Your developments in the area need to be suited towards the demographic you’re selling to. For example, if you’re in a modern city area then chances are, many buyers don’t have vehicles and instead, they use public transport. As a result, a garage is a rather pointless addition and could be converted into a living space or extra bedroom which will add more value than an unused garage.

Similarly, if you’re in a popular holiday location then you need to renovate the house so that it screams “holiday”. Chance the decor, upgrade the furniture and market it towards holidaymakers who want to rent or buy a holiday home in another country.