Steps to Avoid Wasting Time and Money When Starting a Real Estate Project

It is common that the basic guidelines of how real estate developments should be analyzed and strategically managed, to make the most of this business opportunity, are lost on a daily basis.

Real estate developer Abraham Leser, who is the chairman and president of the Leser group, indicates that in general, anyone who is interested in real estate development, including entrepreneurs, investors, developers, and real estate professionals, should constantly read and inform themselves to avoid deviating from what they really want to achieve. This will help them to make sure that what is really needed is being executed. 

This way, it is easier to avoid mistakes in situations that seemed obvious, even for the most experienced professionals.

Therefore, and in order to support the real estate sector, Abraham Leser will share some basic steps that you must keep in mind every time you carry out a real estate development project:

1. Conceptualization of the project

According to Leser, this step begins with the identification of a property or land, with certain characteristics that meet a demand or need in a given area. This conceptualization includes the legal and financial pre-structuring of the project, feasibility and conceptual studies, risk analysis, and evaluation of the viability of real estate development.

2. Legislation, legal and fiscal framework of real estate operations

Leser recommends checking that it is feasible to obtain the necessary permits in accordance with current legislation. Here, you should have in mind:

· the legal regime of property

· urban planning and land regime

· the public registry of property

· property valuation

· tax charges

· the legal framework applicable to real estate operations.

3. Business and financing plan

Leser shares in his articles on Medium that you should document the analysis of the information, the viability and feasibility of the real estate project in order to develop the proposal. You should have in mind its approach and its objective. When creating the proposal, you should analyze some factors, such as:

· marketing and benchmarking

· risks

· contingencies and opportunities

· strengths

· weaknesses

· opportunities and threats

· the resources to be used (financial, legal, legal, human, technological, etc. .)

· scope

· costs and profits.

Also, you should identify and analyze the different sources of financing for the development of the real estate project.

4. Purchase or insurance of the property

Leser claims that the purchase or insurance of the property is essential. It can be carried out after the feasibility study.

5. Design, planning and organization of development

Leser indicates that this implies the architectural design, engineering, consultants, contractors, legal and accounting services, studies, budgets, programs, manuals, policies and procedures.

6. Studies and permits

You should obtain permits and documentation required by government authorities to carry out real estate development.

7. Construction

In this stage, the real estate project is built, following the design, guidelines and defined planning.

8. Real estate marketing

The real estate developer from Brooklyn, NY, Leser points out that marketing and dissemination strategies should be developed according to the needs or desires existing in the real estate market, objectives, forecasts and budget. This implies advertising, public relations and promotions on site.

Abraham Leser claims that each real estate development is unique and has its peculiarities. However, the real estate developer notes that it is important to always bear in mind these steps to guarantee the success of the development and ensure the profitability of investors, as well as the prestige and image of the developer company.