Marketing Plan
If you remember from a previous post, we had decided to not have the development’s agents represent our property because of their unwillingness to negotiate on the 6% commission. We were going to sell the property ourselves. We developed our own marketing plan that consisted of:
Produce color renderings and floor plans and have them […]
This post is about negotiation tricks and tactics. Successful real estate development and investing requires you to be a good negotiator. Understanding the common negotiating tactics that may be used by you or on you is essential to becoming skilled at negotiation. Whether or not you choose to use these tactics, it is vital to […]
Revised Financial Model
Our last post walked through our revised financial model. In running the numbers, we had a dilemma. The highest priced spec luxury home sold to date on this lake went for $1,700,000. In our latest financial model, we would have over $1.9 million in costs! The model we put together had us selling […]
Our contractor did a good job pricing this new preliminary design discussed in our last post. He provided us with a 31 page estimate with the detail we needed to fully analyze this pricing. We couldn’t afford to get this wrong and have to go back to the bank a third time.
The Numbers
The contractor’s estimate […]
First Big Problem
When we received the conceptual design layouts, we knew we had a problem. They were all 4,500 SF or greater. If you remember from a previous post, our initial financial model had us developing a 3,200 SF home at $200.00/SF. The smallest conceptual design was 1,300 SF greater than our model. At $200.00/SF, […]
Importance in Selecting a Good Contractor
Selecting the contractor for your real estate development is one of the most important things you will do for each real estate investment you start. The wrong contractor will not only cost you time and money, but also provide such an unlimited amount of aggravation that you will question your […]
