What to Consider When Looking for New Development Opportunities in Sydney

If you’re willing to invest in property as an asset class, you should consider contacting residential property developers in Sydney. A perfect opportunity for those with capital to invest and willing to take the risk associated with real estate investment.

Investing in property development means that instead of buying a ready-made house or apartment, you’re buying land and planning to build something on it–whether it be a hotel, office building, or residential complex. However, given the high cost and complexity of new development in Sydney, it’s always advisable to get professional advice.

Below, Cite Group have listed valuable tips for anyone looking for new development opportunities in Sydney:

1. Different means of property development

   Residential property investments are a great way to build wealth over time. While there are many different types of options of residential property investments, the most common ones include:

   • Investing in a ready-built home/s: Homes are one of the most affordable ways to buy real estate in today’s market, aligned against the potential ROI. However, they often require significant renovations before being ready for resale (or sometimes simple repairs).

   • Investing in land: Land is an investment opportunity that doesn’t involve owning a piece of property (although you could if you wanted). Instead, it consists of buying raw land to resell later or developing a dwelling at a profit.

   • Investing in a rental property: Rental properties are ideal for individuals who want to build wealth by investing in something that pays off over time rather than immediately. Rental properties typically make more money than other investments such as stocks or bonds due to their ability to appreciate.

2. Research is the key to success

   Given the risk and complexity associated with residential property development in Sydney, it’s imperative to conduct thorough research before investing in real estate. This will help you understand the market conditions and identify the best areas for residential property development in Sydney. It will also enable you to spot the best developers to work with.

   Alternatively, you can have in-depth discussions about current economic data relevant to the industry with Cite Group’s industry-leading professionals who can advise, recommend and assist you in making the right decision.

3. Weed out bad developers

   One of the biggest mistakes people make when investing in new residential developments Sydney is choosing the wrong developer. If the residential property developers in Sydney is unprofessional or doesn’t have a good track record, they’re likely to mess up the project and leave you with a headache. To avoid this, it is crucial to be informed of leading developers in your area. Observe their previous projects and read reviews from previous clients. Also, try to speak with a few previous clients to gauge the developer’s quality of service.

4. Location, location, location

   As with all real estate assets, location is critical. Residential property development in Sydney is no exception. At the very least, you should ensure that the property is in a growing area with potential for future growth. Ideally, for a possibility of a potential return, the Investment properties in Sydney should be close to amenities such as schools, shopping centres, and public transport options.

5. Estimate your ROI

   Before investing in Sydney’s residential property development, you should determine how much you expect to earn in profit by calculating an estimate of your desired ROI.

   There are multiple methods for calculating ROI.

   The most common is net income divided by the total cost of the investment or ROI = Net income/Cost of investment x 100.

   ROI = Net Profit/Invested Money

   So, for example, if you invested $100 and made $200, your ROI would be 200/100 = 2.00.

   Although the formula is simple, determining the data is not. It is highly advisable to contact Cite Group to assist in outlying information relevant to establishing a (close to) accurate ROI. Be informed and avoid gambling on this; there is much at stake.

If you’re keen on investing in residential property development in Sydney, it’s important to remember that this is a complex process with many risks. Make sure to conduct thorough research before investing in this real estate asset.

And most importantly, choose to work with Cite Group, your trustworthy developer whose experience in the industry has allowed us to confidently advise and execute premium investment opportunities for many across the country.