It’s vital that educating yourself about the property market is your first step: read property development blogs, watch for property growth reports or past development statistics and learn to identify investment opportunities.
Before embarking on the journey of beginning your own business, make sure you’re well equipped to manage and lead its development.
Now that you understand your local market and industry, you are in a position to develop long-term goals.
It’s important to consider the larger business outcomes when you create the initial foundation of the business plan.
Discover your local competition, understand legislation, property taxes, and your potential target markets.
Without acquiring knowledge of the local property industry, its past and future, you will find it difficult to accurately build a business plan that is suitably aligned to your business objectives.They can help you to understand what has to go into the business plan, and how to make sure it’s likely to actually pay off in the long-term.There’s a lot to think about when it comes to property development.Used right, a business plan can help to really take your business ideas to a new level.A property development firm is a business that carries a lot of risk, dependent on your skills in development.But, as with the founding of any business, there are far more factors to consider than only the opportunity for growth.If you are thinking of starting a property development business, here are the necessary steps to implement to get you on your way.Once you’ve settled on your position within the market, you can begin using market research (looking at competitors, and growth opportunities), financial projections (required budgets, cash flow projections, and available tenders) and knowledge of local property law to set your short-term goals.The following steps will see you hiring a team to support the different roles required (property strategists, real estate agents, financial strategists, conveyancers, contractors, engineers, etc.), settling on the nature of your first projects, and giving yourself clear return-on-investments to reach.The South African property market suffered a significant dip prior to mid-2017, however, it finally seems to be recovering.Since September 2017, property prices have gradually risen – reigniting the market after nearly a decade of weak performance,providing opportunities for emerging developers in South Africa.