Post by braided-rug on Dec 31, 2007 13:24:36 GMT 10
I just wrote about my dining room and saw a google add above it. It is a great site, and I found this advice. I am not selling my house, because we want to own it, but property developing is tempting. Though looking at this list, from money magazine, I have a lot to learn, particularly about bills and supervision, and flexible finance. Well, I learnt it, but it would have been nice to know it beforehand.
www.myhome.com.au/myliving/?gclid=CNXbwvrH0ZACFRHOhgodHgn2Pw#/
From Money Magazine
By Sarah Mills
Renovating can take a lot out of you and your budget. Before you take the DIY plunge, there are ten rules which you should know
ten rules of renovation,
1. Buy a property that is suitable for both resale and long-term holding for rental. This gives you flexibility in a changing market.
2. Always buy properties in good locations — well located properties still sell in bad markets while poorly located properties may not.
3. Buy at a price that assures you at least a 20% return on your investment after costs — this not only gives a fair return, but protects against a fall in the market.
4. Get a flexible finance package — things go wrong, builders finish late, people lose their jobs etc.
5. Don't rush into the first property you see — take your time to find the right property. The more you look, the better you will get to know the market, the better your judgement becomes. If it takes a year to find the right property, then give it the whole year. Don't be forced into the property market by fears of missing the boat (or boom).
6. When you have found the property you want, act quickly.
7. Renovate or build for maximum profit, not for your personal taste.
8. Maintain control of your builder's costs — have a written agreement, do not change your mind, and hold back the payments until you are satisfied that each stage of the work is complete.
9. Stay on top of your builders and the quality of their work by carefully supervising them.
10. When your development is completed, quickly sell or let your property — don't be greedy on the sale or rental price.
For more articles about financing property and money see ninemsn Money
www.myhome.com.au/myliving/?gclid=CNXbwvrH0ZACFRHOhgodHgn2Pw#/
From Money Magazine
By Sarah Mills
Renovating can take a lot out of you and your budget. Before you take the DIY plunge, there are ten rules which you should know
ten rules of renovation,
1. Buy a property that is suitable for both resale and long-term holding for rental. This gives you flexibility in a changing market.
2. Always buy properties in good locations — well located properties still sell in bad markets while poorly located properties may not.
3. Buy at a price that assures you at least a 20% return on your investment after costs — this not only gives a fair return, but protects against a fall in the market.
4. Get a flexible finance package — things go wrong, builders finish late, people lose their jobs etc.
5. Don't rush into the first property you see — take your time to find the right property. The more you look, the better you will get to know the market, the better your judgement becomes. If it takes a year to find the right property, then give it the whole year. Don't be forced into the property market by fears of missing the boat (or boom).
6. When you have found the property you want, act quickly.
7. Renovate or build for maximum profit, not for your personal taste.
8. Maintain control of your builder's costs — have a written agreement, do not change your mind, and hold back the payments until you are satisfied that each stage of the work is complete.
9. Stay on top of your builders and the quality of their work by carefully supervising them.
10. When your development is completed, quickly sell or let your property — don't be greedy on the sale or rental price.
For more articles about financing property and money see ninemsn Money