If you’re looking for a new business venture that you can fit around your family lifestyle, you should consider property development. Initially, it is fairly time consuming because you need to find a suitable property, handle all of the renovations, and then find tenants to move in. However, once the tenants have moved in, you don’t need to dedicate a huge amount of time to the property. You will have to deal with maintenance from time to time but if you pick long term tenants, it’s a fairly hands-off business to run unless you have big expansion plans, so it’s great for parents. If you think that property investment might be a good choice for you, here’s how to get started.
Decide On A Niche
Before you start looking at properties, you need to think about what your niche is going to be and what kind of properties you want to look into. Do you want to buy a 3 bedroom house to rent to families or do you want a small flat in the middle of the city to rent to young working professionals? Maybe you want to turn a property into a student house? There are benefits and drawbacks to all of the different types of property, for example, a student house usually brings in more revenue but you have a higher tenant turnover and you’ll have to spend more money on repairs. If you’re looking for something a bit more hands-off, renting to a family that will stay for a while and look after the place might be better. Think about what you want from the business and how much time you want to put into it and that will help you to work out your niche.
Find Some Funding
You’re going to need funding to buy a house and renovate it, so that’s your next step. You could get a mortgage from the bank but it’s often better to go with a company like Belgravia Property Finance that specializes in property development funding. Before you start looking into your funding options, it’s best to have a look at some properties in your desired area and get a rough idea of the prices. Don’t forget to factor in the cost of renovations either, otherwise, you’re going to come up short.
Pick A House
Now that you’ve got your funding, you can start looking at properties. The important thing to consider here is how much time you want to spend renovating before you’re ready to move tenants in. If you don’t mind putting the time in, you can buy an older property that needs more work because it will be cheaper. However, if you want a quick turnaround, it’s best to buy a newer property that doesn’t need as much work doing.
Get The Right Insurance
You need to make sure that you protect your assets and you don’t end up in a difficult financial situation if there are problems with the renovation. That’s why you need to get the right insurance for your business and for any properties that you buy from the very beginning. If you skip the insurance and the house is damaged in some way, you’ll be stuck paying for the repairs and if you can’t afford that, the house is worthless.
If you follow these steps, you can get your property development business up and running in no time.