Get Started in Real Estate Development
Many developers get their start in the industry as real estate agents. After being in the industry for a while, they start buying and improving properties to later sell for a profit. After flipping enough properties to secure the appropriate capital, they can then work with a planner, architect and builder to design, build and market a brand-new development project.
If you’re interested in a career as a real estate developer, there are several paths to get there.
- Some developers get their start in the construction field. After years of building homes or commercial properties, they bring in their preferred architects and financial asset managers as partners to develop projects.
- Yet another option is to find work with a real estate development company or a developing consultancy that caters to a specific type of real estate. This is the most common path for people who aren’t already entrepreneurs.
Real Estate Development Process
The real estate development process is a complex series of steps.
Typically, it starts with a concept and ends with a fully developed property ready to be purchased or leased. A real estate developer has the skills and education to identify opportunities and the connections necessary to get a project completed.
But before anything can happen, the developer needs to conduct thorough research and create a budget to ensure the project is feasible financially.
- If the project and budget are achievable, a developer meets with local government officials for a consultation. During this part of the process, the developer discusses the project and its benefits to the community.
- Next, preliminary designs are created, and all applications are submitted. In some cases, public hearings are held. This way, the community can ask questions and express concerns.
- If the project is approved, the next step involves finalizing financing and contracts. Once these steps are completed, construction can begin.
When the building is complete, the developer obtains the necessary building and occupancy permits and can then sell or lease the space.
