The very concept of property developers in Sydney conjures images of real estate moguls and high-end financial gurus who have an inside track in the market.
Although there are people and groups who manage to achieve major returns from a starting point of privilege, there are others who simply use the tools at their disposal to make a healthy living from this venture.
Thanks to some savvy planning mechanisms and network skills, citizens are able to take advantage of the same system and reap the rewards for themselves and their family.
We will look at the driving factors behind the decision to become a developer for the Sydney market.
Making Serious Money
With the rates of purchases and renting only increasing year on year, property developers in Sydney know that they are in a position to enjoy serious financial returns. A recent study indicated that investors are able to enjoy approximate annual returns of 8-12%, providing a very comfortable nest egg for constituents who get into the business. Repeat this cycle two, three, four times or beyond and suddenly there is a thriving enterprise that boosts the bank balance time after time.
Engaging The Creative Streak
Having diverse portfolio interests is possible for those participants who want to become property developers in Sydney. The decision where to invest and how to redevelop and innovate a location requires a mixture of data analysis, an eye for detail and an ability to create and tap into an artistic streak. That is appealing for people and groups who don’t want to just sit on their retirement but to engage their work in a meaningful way.
Long-Term Security Position
We have all heard the saying “safe as houses” before and this adage applies directly to property developers in Sydney. While the market shifts and different jobs come in and out of relevancy, real estate will always remain an essential component for the community – whether that is in Sydney, in another city, another suburb or another country. It ensures longevity with a financial position because there will always be a demand for taking up residency, especially in Australia’s most populated city.
Enjoying a “Nothing Down” Financial Lending Approach
An issue that could prevent individuals, couples, and teams from operating in the field of property developers in Sydney is having the capital to make these projects a reality. The good news is that there are lenders who extend mortgages to completed properties where they can lend upwards of 80% on the retail value of the location. This is considered a “nothing down” financial approach where developers can leverage their own investments without having to fork out large sums to repeat the process.
Among the many benefits involved for property developers in Sydney, they will discover that there are particular tax incentives involved in dealing real estate. Depreciation allowances are calculated into annual returns, offering citizens the chance to lower their tax burden when the end of financial year emerges on June 30. Speaking with accountants will provide greater insights into these initiatives.
Don’t Have to Give Up The Day Job
Becoming property developers in Sydney can be very taxing work for those that want to oversee and manage these renovations, projects, sales and rentals. It often accumulates a high degree of time and effort, but it does not always have to come at the concession of a regular day job. Especially for those who are fortunate enough to work as a team of developers or have the resources to outsource certain duties, this process can regenerate and build without having to be directly engaged 7 days of the week.