There are many roles in real estate, and one of the most important ones is development. Residential developers are responsible for getting the land ready to be sold and built on. It’s not unusual for a developer to also act as a builder as we do at Sina Architectural Design. Not all developers are the same though. If you’re looking to purchase from or partner with a real estate developer here are a few signs you should look for to determine whether they’re good at their job!
Discipline and Differentiation
These two D’s are super important when it comes to a successful developer. Developers have to be disciplined when it comes to numbers. Development projects work on tight numbers and they always have to keep exit prices and projections in mind. One of the worst things a developer could do is run out of money or complete a project that outprices the market.
Differentiation is also important to success. A good developer knows how to take a style or design that people like and put their own fresh spin on it. Developers have to walk the fine line between creating something people want to purchase, and putting a new, fresh spin on it.
Network and Communication
Real estate is all about networking and making connections. It is hard to be successful as a real estate developer without a strong network of other professionals. Developers work with all other facets of the industry, from real estate agents to builders.
A successful developer not only has an expansive network of contacts, but they also know how to communicate. A developer that can’t communicate could cause costly mistakes or delays. Residential developers usually sell raw space before anything is built so they really have to sell their vision with words.
A developer is only as strong as the team they assemble. Development is a team sport, and it’s crucial to have an amazing team of professionals. This is also why networking is so important. Developers need to work with the local planning department, local government, brokers, banks, contractors, builders, and designers. With so much time and money going into development projects, real estate developers really need a strong team all around.
In a busy city like Toronto, there are always new development projects popping up. However, a common issue in many projects in recent years is that the design just doesn’t take liveability into account. A good developer will create a functional design while taking budget and square footage constraints into consideration. This also includes additional features that people want these days such as parking, package delivery, amenities, green space, and more.
Experience and Education
Before purchasing from or partnering with a real estate developer you should absolutely take a look at their educational background and past experience. Developers need to show they have experience working on projects in order to gain the confidence of those working with them. Take a look at their past projects, and even tour them if possible. Don’t be afraid to ask questions about their education or experience as well. Developers love bragging out their successes!
Looking for a skilled and experienced residential developer to work with? Contact us today!