Material provided by Switch Develop
THERE’S a checklist of essentials the experts say you must pay attention to if you’re going to maximise the return on your property development.
Whether you’re developing to sell or developing for the rental market, many elements can be included at minimal build cost but you’ll reap the rewards in the long term.
Paul Secker, Sales Manager at Switch Develop
, says the secret is including items that have a perceived value as far as your potential buyers or tenants go.
“You can see why knowing your target market is the first step to any successful development,” Paul says. “If you know your target market you can choose your selections accordingly and appeal to the broadest range of buyers or tenants possible within that market.”
Stone kitchen benchtops, mixer taps and 31-course ceilings to living areas will add maximum appeal for minimal outlay in most markets.
“These are always a sign of a quality product and will help set you apart from other homes on the market, making your property more appealing and therefore earning you a higher return,” Paul says.
If you’re developing in a high-end area, then features such as ornate cornices, smart wiring, upgraded appliances and more decorative doors and door handles might be called for.
“The thought process essentially needs to be the same whether you’re selling or planning to rent out, although I’d recommend some additional specification items to make your project stand out if you’re going straight to market,” Paul says.
Whatever you do, don’t make the rookie mistake of adding your own personal touches based on what you may or may not have done in your own home.
“Do this and you’ve suddenly forgotten that the cost doesn’t add perceived value or you end up alienating a section of your market,” Paul says.
“It might sound harsh, but emotion has no part to play when it comes to maximising the return on your development.”
The majority of Switch Develop’s clients make use of the company’s tailored selections boards. Put together by in-house interior designers, these failsafe selections take away the guesswork and make sure clients are adding value where it counts.
“Clients still get the latest trends and colours, but more importantly they’re confident they are appealing to the largest cross section of their target market,” Paul says.
Choosing pre-selected items, or working closely with an interior designer to fine-tune your specification, saves you time, money and hassle, too.
“At the end of the day, developing is a business and always needs to be treated as such,” Paul says.
That’s why a floor plan that is functional, liveable and easy to furnish is another checklist essential.
Ask yourself : Are the room sizes adequate? Is there plenty of storage? Will rooms feel light and bright?
“These are non-negotiables that any potential buyer or tenant will look for,” Paul says.
“So don’t try to save money up front by automatically going for a cheap cookie-cutter design as more often than not a plan like this won’t be making the best use of your development site.
“A specialist development design team is crucial to your success, whether you’re developing one property, two properties or several properties.”
Working with experienced designers who know the ins and outs of developing means you’ll not only maximise your site, but you’ll also be taking issues such as solar orientation, views, sewer easements and retaining into consideration.
“Developing for profit is about having a clear idea of what you want to achieve and bringing the right team on board to help you achieve it,” Paul says.
For further information on developing you property visit switchdevelop.net.au
or call Paul Secker, Sales Manager at Switch Develop
08 6274 7333.
Disclaimer: while due care is taken, the viewpoints expressed by contributors do not necessarily reflect the opinions of Your Investment Property.
Do you have more than $120k in your super fund? You could use your super to buy property - Find out how