Just bought a property for development? Property development is an extremely popular thing to do currently. With house prices being at an all-time high with the average being £288,130, the thought of paying this can be daunting to some.
However, when you develop a property, you will be getting much more bang for your buck. This is because properties that require heavy development will probably be a lot cheaper than those that are already the finished article. Property development can also mean turning a home into a house share. This means increasing the number of people renting for increased monthly income.
Whether you decide to rent out your property or sell it on for more than you purchased it for, you’ll still have to do the same things once you purchase the property. Read on to find out what to do once you buy a property for development.
Inspect the property
This is a time to assess the situation at hand. Begin by identifying any issues with the home that will need fixing to make it habitable. This could be checking if windows open fully or examining the electrical systems in the property using a socket tester.
Once you’ve created a snagging list of problems, it’s time to identify development opportunities. Here, you will begin to brainstorm what you think will be best for this specific property. Does it need a new kitchen? Or does the dining room need converting into a bedroom for a house share?
Review your budget
When you purchased the home, you would’ve created a budget that you want to stick to. That doesn’t have to be set in stone and now that you have purchased the house, you’ll have a better understanding of whether that budget is viable.
If it is, then great! You can crack on with the project. If you need a bit more capital to complete the changes you want to make then ensure you can afford it before starting any work. It’s always a struggle sticking to a budget, but the more you can do it the more money you can keep for yourself down the line if you decide to sell on.
Outline the project timeline
These projects can take a while, so it’s good to have an estimated timeline for the work. This allows your tradespeople to know how much they will likely be getting paid and allows time to order the materials for the right time.
Once you’ve created a timeframe for the project, you’ll know exactly when it should start and finish which should give you peace of mind.
Find your tradespeople
Knowing how to find the right tradespeople can be tough if you don’t know anyone prior to your property development. This means there’ll be plenty of research to do. Begin by asking friends and family members if they know someone good and reliable.
If they don’t then you may have to use comparison websites to find local tradespeople. Ensure you check out their customer feedback and see images of their work to fill you with confidence.