property and rent

yes [saywhat]

Do you know ALi G Nehal He may be able to answer your question what ever that may be.

Hi,
The best thing to do when trying to get into a field that is new to you is get some base understanding through a little research and reading.

Buy a book about real estate investing so you get the terminology and process concepts. That way when you phrase your questions you can use terms and figures that are meaningful to other investors.

In answer to your questions:
You are asking if it is possible to buy a large bit of land and build multiple houses on it and then rent those houses (apartments?) out.

Yes this is quite a common practice and if managed well and planned well can be very profitable. However it is important to know that land is sold subject to restrictions on what can and can’t be built on it. Those restrictions are generally set down by the local council, though there are government departments that also can apply restrictions (like heritage listing or environmental sensitivity).

So to buy a block of land and build multiple units (or houses or whatever) you would need to:
1. Find a place (city, town, suburb) that would be suitable.
2. Find some land for sale.
3. Contact the local council and perform some property searches and get the zoning information etc..
4. Once you’ve found a block of land that is suitable for multiple dwelling development: either engage a development manager (a number of companies do this) or project manage for yourself (need to be pretty up to speed on a lot of things)
5. get the units built.
6. rent them out.

So a very simplified list, but the essesence is there. It’s not so much the qualifications you need as the qualifications of the people doing the building and the quality of the resulting building.

This is a very expensive type of project, as you could imagine. Building one house (I’m doing it now) costs hundereds of thousands of dollars let alone building multiple all at once!

So my best advice is go into a book store, go to the investment section and buy a book about real estate investment. That will give you a good run down of the words and terms and processes and concepts. Then hit the net and do some searches on stuff that you need more info about and ask directed questions here.

[biggrin]

Hi Nehal,

I am extremely impressed by your interest in investing as a 15 yo. God knows what I was doing at your age, probably more like hanging around the mall staring at chicks !

I would strongly recommend you start off by reading the book “Rich Dad Poor Dad” by Robert Kiyosaki.

It is written in a manner that is easily understood and portrays the investment philosophys and lessons that Robert acquired when he was not too far off your age.

Good luck and remember – NO question is a stupid question !

My only bit of encouragement is that I was eighteen when I collected my first bit of rent.
I wasn’t born rich but had a the ability to save enough of a deposit. Save money for a deposit and this activety alone will teach you the first step.

you mean like the matrix???????? so thats what its all about. [weird] if only it were so easy though nehal, you know looking at blank wall. frankly i think something is not right here when a forum on property investment degenerates into some psycho mumbo jumbo……..