Attention Developable Property Owners: How to Make Extra Profit, Passively!

If you own a property with development potential, why just sell through conventional methods when you can become a ‘passive’ property developer, essentially creating and keeping the developers profit yourself, without the stress! That’s right, you have the opportunity to unlock somewhere between 25% and 100% additional profit by developing before selling.

You might be thinking, but how? Can I afford it? How will I find the time? How can I be confident that it will be successful?

I believe that successful property development requires a few key elements – time, money and experience.

Money can be one creator of stress, so let’s have a look at it first.

How much money is needed by you depends on a couple of things, and one is the scale of the project. A smaller re-development project (say 2 to 4 lot/unit subdivision) would generally require less than a larger scale land subdivision, but either way it might be less than you think, especially if there is no mortgage on your property to start with.

Most of the money required can be borrowed. As a general rule, a lender would typically loan you 75 to 80% of the ‘stage’ development cost. If you have a smaller, single stage project (ie all sales revenue is realised after completing the whole development), this would mean you would only need to fund 20-25% of the total development cost from your sources in the form of either cash or equity you already have in the property you want to develop or other property you may own. You also have the option of utilizing other equity sources by bringing investment partners into the equation if you want to, and we can assist you with that as well.

My downloadable report goes into more detail on some typical figures based on a couple of different scenarios, so feel free to have a read. Your case might be different however (particularly so with larger ‘multi-stage’ property development), so please contact us and we can look at your property’s potential in more detail. We can have a look at the money in versus money out options and see what the anticipated returns are likely to be. You might be pleasantly surprised at how little money you might need, if at all!

Just like anything else in life, whether it is work, sport, hobbies, or other personal challenges we face, exposure provides experience which gives us the confidence to achieve success.

Those who know me already know that I’m an avid fisherman. I was introduced to fishing in my early primary school years and very quickly developed a passion for it, even though my success rate was quite limited back then (what can I say I enjoy a challenge). However, over the years I gained more and more experience learning everything I could about the sport and sure enough the success rate followed.

The same applies to property development. I am passionate about property because of how much value it can add to people’s lives, particularly from a financial perspective. The only unfortunate thing about property development is that all the complex rules and regulations can make it a daunting and risky prospect for many that have not had the opportunity to be exposed to it.

Having the relevant experience helps you identify the risks in the first place, and this is where many can come unstuck. However, the good news is that we can bring the required experience to your project to help you minimize your risks and maximize your rewards.

Having successfully delivered massive profits to developers for over a decade, we provide our time and our expertise to plan and deliver your project on your behalf, utilizing our effective and efficient development management methods to ensure your project achieves its optimal performance. Your time input would be minimal, and all while you maintain ownership and control of your property development project, meaning you will have less stress and more time to focus on other things.

However, if you have the time available and prefer to take a more active role to develop the property yourself, you can still utilize our expertise to help guide you through the process. It’s totally up to you how you prefer to bring our experience to your project.

So before you decide to put your property on the market, give us a call on 0438 028 194 or email domenic@landeq.com.au and we can help you assess & establish a clearer picture of how much more profit you can potentially unlock from your property.