Over the years I have spoken to countless budding Property Developers. I've watched their journeys, and seen some succeed while others fell by the wayside.
It's taken me a while, but I'm starting to see a pattern that separates those who succeed from the rest. It's how they deal with adversity. Successful property developers learn how to turn obstacles into opportunities.
When you're new, there are a whole lot of things you don't have or know. Almost everyone bumps into these roadblocks while on their journey.
And the three biggest are lack of money, lack of time and lack of knowledge.
It's what happens next that makes the difference.
Let's start with lack of money, because it's the one that almost everyone bumps into at some stage while they're on their journey to become a property developer.
After all, even if you start with a lump of cash and serviceability, if you're planning to do multiple deals at the same time, your own resources will eventually run out.
Or you might just be in the position where you're starting out with nothing, and so have no idea how to get started.
It's very easy to use a lack of money as an excuse to do nothing. For example: "I only have $x available, and I can't find any areas where that will buy a property I can develop using my chosen strategy."
That's the point at which you make a choice. You can use that as an excuse to do nothing, or you can grit your teeth and remember one of my favourite sayings: "Don't let your lack of resources stop you from being resourceful." Creative property development finance strategies can help new developers get started sooner than they think.
For starters, how about bringing a joint venture or money partner into the deal? You can use their funds to increase your purchase price to a level where you can buy a development property in an area where your strategy does stack up. Joint ventures for property development can be a powerful way to overcome limited capital.
Another saying I'm very fond of is "you're better off with 50% of something than 100% of nothing." In some ways a lack of money is a positive thing, as it will push you to start cultivating relationships with potential partners. And when your property development business takes off, you're going to need them.
Maybe instead you can use your lack of funds as a trigger to investigate other strategies that require little money to get started. How about finding deals and passing them on for a finder's fee? That's a great way to develop (pun intended!) your skills while at the same time build up a lump of cash in preparation for doing your own development deals.
In fact, there are 7 different "No Money Down" deals that I talk about:
If you don't have resources of your own, then you should definitely check out my back catalogue of Sunday Sessions videos on YouTube and articles on Property Pulse and start learning about these approaches.
The best part is that by exploring these property development strategies, you build up your knowledge and give yourself the ability to be more creative in the way you approach potential deals in the future. Learning multiple acquisition and finance strategies increases your flexibility as a property developer.
The point I'm making here is that lack of money doesn't have to be a weakness in your journey to becoming a Property Developer - it can be your superpower. It can push you to learn more and be a more creative and versatile deal maker. It can push you to build up your network of potential joint venture and money partners.
It's not your kryptonite at all!
"But Rob," you say, "money isn't the problem. It's time. I work 40+ hours a week, I have a wife and kids to think about, let alone extended family. When am I supposed to find the time to run a Property Development deal?"
I'm going for the record of how many sayings I can put in one Property Pulse, but here goes: "If you want something done, ask a busy person."
Why do you think people say that? Is it because busy people somehow have access to more than 24 hours in the day? Of course not. But successful busy people tend to be very organised and efficient in how they use their time.
How does that relate to you? Well, if you're short on time, then the time you do have has to be used with maximum focus and intent. No scrolling through cat videos on YouTube, for starters.
You have to be very clear on what you need to achieve in each bit of time you have available, and if possible, at the end of that session write yourself a note so that when you start your next session, you know exactly where you were up to and what comes next.
Another approach is to focus on gaining an understanding of how to assess a property development deal - then either pay someone else to find one for you, or team up with someone who has the time and skill to run a deal but has no money. Win-win! Property development partnerships can help combine money, time and skills into one profitable team.
So lack of time doesn't need to be a weakness at all. You can turn it into super powers like efficiency, focus, skill and more.
And if your weakness is lack of knowledge? Then learn stuff! You can learn by experience, but the best way to gain knowledge is following in the footsteps of others.
One way is to joint venture with a partner who's already done the hard yards and learn from them. Or, if you want a broader education in Property Development, rather than just learning about one deal, then I highly recommend (shameless self-promotion approaching!) my Property Development Formula course. Property development mentoring can dramatically reduce costly mistakes for beginners.
The bottom line to take away is when you look at something you believe is holding you back on your Property Development journey, change your perspective. That roadblock might just be a stepping stone to help you discover new Super Powers.
It's taken me a while, but I'm starting to see a pattern that separates those who succeed from the rest. It's how they deal with adversity. Successful property developers learn how to turn obstacles into opportunities.
When you're new, there are a whole lot of things you don't have or know. Almost everyone bumps into these roadblocks while on their journey.
And the three biggest are lack of money, lack of time and lack of knowledge.
It's what happens next that makes the difference.
Let's start with lack of money, because it's the one that almost everyone bumps into at some stage while they're on their journey to become a property developer.
After all, even if you start with a lump of cash and serviceability, if you're planning to do multiple deals at the same time, your own resources will eventually run out.
Or you might just be in the position where you're starting out with nothing, and so have no idea how to get started.
It's very easy to use a lack of money as an excuse to do nothing. For example: "I only have $x available, and I can't find any areas where that will buy a property I can develop using my chosen strategy."
That's the point at which you make a choice. You can use that as an excuse to do nothing, or you can grit your teeth and remember one of my favourite sayings: "Don't let your lack of resources stop you from being resourceful." Creative property development finance strategies can help new developers get started sooner than they think.
For starters, how about bringing a joint venture or money partner into the deal? You can use their funds to increase your purchase price to a level where you can buy a development property in an area where your strategy does stack up. Joint ventures for property development can be a powerful way to overcome limited capital.
Another saying I'm very fond of is "you're better off with 50% of something than 100% of nothing." In some ways a lack of money is a positive thing, as it will push you to start cultivating relationships with potential partners. And when your property development business takes off, you're going to need them.
Maybe instead you can use your lack of funds as a trigger to investigate other strategies that require little money to get started. How about finding deals and passing them on for a finder's fee? That's a great way to develop (pun intended!) your skills while at the same time build up a lump of cash in preparation for doing your own development deals.
In fact, there are 7 different "No Money Down" deals that I talk about:
- Deal Finding
- Project Management
- Vendor Finance
- Delayed Settlement with Early Access
- Joint Ventures
- Private Loans
- Option Contracts
If you don't have resources of your own, then you should definitely check out my back catalogue of Sunday Sessions videos on YouTube and articles on Property Pulse and start learning about these approaches.
The best part is that by exploring these property development strategies, you build up your knowledge and give yourself the ability to be more creative in the way you approach potential deals in the future. Learning multiple acquisition and finance strategies increases your flexibility as a property developer.
The point I'm making here is that lack of money doesn't have to be a weakness in your journey to becoming a Property Developer - it can be your superpower. It can push you to learn more and be a more creative and versatile deal maker. It can push you to build up your network of potential joint venture and money partners.
It's not your kryptonite at all!
"But Rob," you say, "money isn't the problem. It's time. I work 40+ hours a week, I have a wife and kids to think about, let alone extended family. When am I supposed to find the time to run a Property Development deal?"
I'm going for the record of how many sayings I can put in one Property Pulse, but here goes: "If you want something done, ask a busy person."
Why do you think people say that? Is it because busy people somehow have access to more than 24 hours in the day? Of course not. But successful busy people tend to be very organised and efficient in how they use their time.
How does that relate to you? Well, if you're short on time, then the time you do have has to be used with maximum focus and intent. No scrolling through cat videos on YouTube, for starters.You have to be very clear on what you need to achieve in each bit of time you have available, and if possible, at the end of that session write yourself a note so that when you start your next session, you know exactly where you were up to and what comes next.
Another approach is to focus on gaining an understanding of how to assess a property development deal - then either pay someone else to find one for you, or team up with someone who has the time and skill to run a deal but has no money. Win-win! Property development partnerships can help combine money, time and skills into one profitable team.
So lack of time doesn't need to be a weakness at all. You can turn it into super powers like efficiency, focus, skill and more.
And if your weakness is lack of knowledge? Then learn stuff! You can learn by experience, but the best way to gain knowledge is following in the footsteps of others.
One way is to joint venture with a partner who's already done the hard yards and learn from them. Or, if you want a broader education in Property Development, rather than just learning about one deal, then I highly recommend (shameless self-promotion approaching!) my Property Development Formula course. Property development mentoring can dramatically reduce costly mistakes for beginners.
The bottom line to take away is when you look at something you believe is holding you back on your Property Development journey, change your perspective. That roadblock might just be a stepping stone to help you discover new Super Powers.
