Years ago, real estate development was more about location, value, and demand. If a property in a desirable area was available for a good price, it was predictable that it could be developed and turned over successfully.
Today, the landscape of real estate development is changing. In addition to knowing market values, demand, and location desirability, real estate developers must consider a number of other factors, from sustainable living to expected features and amenities. Here is what you need to know.
Develop Solid Working Relationships
Success today is more dependent on having solid working relationships. First of all, you want to learn from people who are already working within your market. These people can help you succeed. Talk to people who have been through foreclosures, fix-ups, or evictions. Learn as much as you can. Their experience contains a wealth of information that will help you succeed.
You also need to build relationships with people who will help you with your project. Your goal should be to assemble a team that can help you from one project to the next. You should find a contact in the planning department and your local bank as well as a local real estate broker who knows the market. Finally, you need a team of contractors and suppliers that you can rely on to complete your jobs.
Be Flexible and Listen to What People Want
You need to be flexible today, or you will have trouble sustaining success. If the market is slow for building, consider partnering with a business or nonprofit that could use your help to get a job done.
You can’t stick to the same model that has been around forever because people are changing. Today, people are looking to see in-law suites or a space for an adult child within their homes. Communities are created for looking for more than homes; they are looking for an entire lifestyle that includes dining and entertainment. People are very conscientious about green living, so factor that in as well. Be flexible and consider what people want before you start your next project.