Toerag

Just had a thought, potential properties include big ones with an old biddy living in just 2 rooms who can't afford to do the place up. That's where I'd try to go for. If I had the money and *****!

Planny

Toerag, that is just the sort of property I was thinking of. Start with an old 'granny' flat in a nice area whip it into shape with the intention of selling to a young couple looking for a fresh flat.

Planny

Anyone else got views on this?

I was talking to my old man last night who has an established business and a finger in pretty much every pie in the construction industry. He say's he'd be keen to get involved in bigger projects with me when the time comes. Could be useful as he's got loads of contacts, lots of building and construction experience and better financial backing. I can sort out the planning side of such things and tend to be out and about more hence better chances of spotting opportunities

JoeyDeacon

They say when you spot a gravy train you have already missed it and I think this is another example.

Just you and a million other people looking to do this. Also don't forget that any property that requires renovating will be first offered by the estate agent to one of his property developer contacts for a nice backhander before the general public even get to hear about it.

Same thing tends to happen when a property goes to sealed bids, estate agent will open all the bids and tell their property developer contact what the current highest bid is in return for a nice backhander.

Oh and can I add it's programs like property ladder that have led people to believe you buy a house, do a bit of decorating and make 50K profit in 6 months. As they point out at the end of every program most of this is due to the rising market. Lets see if property ladder is commisioned for a new series if the housing market starts to fall?? Bit like all those programs about how to make money on the stock market 3 years ago (when any idiot could make money), how many of those do you see on TV now?


[Edited by JoeyDeacon - 2/4/2003 2:39:04 PM]

frisby

Agree with you there Joey, I've just bought a house in June - spent £100.00 on paint and brushes, and over a couple of weekend painted the walls and ceilings, so basically I've done nothing in the way of property developement and my house has gone up by £30,000.00 - woth noting that the purchase price was only £68,500.00

Forget the actual developement bit, just buy a house, rent it out for 6 months then sell on to release equity you've made due to the general increase in house prices.


laters

Stu

[Edited by frisby - 2/4/2003 4:37:05 PM]

mattstant

NO DONT watch this programme and think it is easy this program was filmed during a sharp rise in the market when it would have taken an effort to actually lose money on property.
And every week even though it had warnings (too weak in my opinion) i would cringe in fear for the people who thought they could follow this example and make easy money.

AS a property developer myself i cant really advise on house renovation as nearly all our work is new housing or developed industrial.

personally i have had three houses and made money on every one plus a large 7 bed student house which i got sick of redecorating every 6 months and sold on.

there are NO tricks con tricks maybe and no i dont use any of them



[Edited by mattstant - 2/4/2003 6:00:09 PM]

stevebt

iTrader: (8)

trying to make money in the property game Location is everything dont buy in some silly area as you could take ages to sell and this will eat into profits, dont think you have to renew everthing to make them look nice see what can be salvaged in the property and sell thru the paper (people will buy anything) decorate the property in neutral colours as you not doing it for yourself also go with white suites for the bathroom and if possible add a downstairs toilet and an ensuite to an upstairs bedroom thes are the type of things that help for good sales
edited to say if you have no skills to take with you for doing a property up you are more than likely going to loose money or break even if you are lucky, people on the buildings are very unreliable when you are working to deadlines unless it is peole that you give work to all the time and then be carefull

[Edited by stevebt - 2/4/2003 6:15:03 PM]

mattstant

go for it Planny dont rush into your first project and stick to your price like glue.
If it falls through just move onto the next prospect you can spend quite a bit of money on surveys and planning applications only for it all to fall through at the last minute

and good luck

Matt

ps whoops forgot you were in scotland so the bit about surveys is quite as relevant


[Edited by mattstant - 2/7/2003 9:19:30 AM]