October 1st, 2014. Ben Lloyd
How to Speed Up Renovation without Scrimping On Quality
Time, money and scope. Those are the 3 sides of the triangle which is project management. And if you change any one of those dynamics, you automatically change the others. So if you run out of time, you may need to spend more money to achieve the same scope. Or if you change the scope, you may need to spend more money in order to finish the project on time.
When it comes to renovation projects, one of the common temptations a property developer faces is in cutting corners to save money to finish the project by a specific deadline. Or put another way, they scrimp on quality to reduce the cost and time of the project.
But is there a better way? Is there a way to speed up renovation without scrimping on quality?
There is. And this article will look at the 4 essential steps to completing your renovation quickly without compromising on its quality.
#1 Commit to the project
Property renovation is no walk in the park. It’s full of obstacles, challenges and delays that can make you lose heart. It’s also a highly rewarding activity and can be a lucrative investment. And so the first thing you need to do is decide how committed you are to completing this project. Visualise the outcomes, the financial payoff, and all the leverage that leasing or selling your newly renovated property will afford you. Burn these into your mind, write them down and let them be a constant source of inspiration to fuel your commitment to the project. This will keep you from the second-guessing that plagues the uncommitted in the middle of a renovation, and is a major cause of delays in completing the project.
#2 Consult with experts (aka don’t underestimate the project)
Benjamin Franklin said: “An ounce of planning is worth a pound of prevention.” And author James Baker said: “Prior preparation prevents poor performance.” In other words, every minute you spend in preparing adequately for the project will potentially save you days and weeks that would have been wasted in correcting mistakes. And the best way to prepare is by consulting with experts with relevant experience.
Here are two experts you need to have on your team. Expert number one is your real estate agent. Before seeking finance, you need to contact your real estate agent. Why? Well, the real estate agent is important because if the end goal of renovating the property is for you to lease it or sell it, then it makes sense for you to involve the person who will be helping you sell it; this allows you to find out what areas of renovation need to be focused on. Find the most successful real estate agent in your area, get him/her to see your property as it is, and tell you what changes would need to be made for you to be successful in selling it.
Expert number two is a designer. Because with the guidance from your real estate agent, the designer will be able to help you find the best way to make it happen with the budget that you’re prepared to spend on the project. A good designer will be able to give you intelligent creative options that will look good and save you money. The designer will also point out the downside of some trendy products and save you from making attractive but costly mistakes.
#3 Ask for quotes from qualified tradesmen
With the guidance from your real estate agent and designer, you’ll now have an idea of the kind of work that needs to be done to your property. You can then put this information into a detailed spec and send out for quotes from the various types of tradesmen who you’ll need to work on this project. Reach out to tradesmen with a great track record, and make sure you get more than one quote for a comparison, as well as evidence and references from previous work that they’ve done. And as tempting as it is, do NOT work with ‘cowboy builders’. The money you think you’ll save up front pales by comparison to the money and time you’ll lose further down the line. When it comes to selecting your contractor, make sure they have the right references and also the required approval for the building work they’re going to undertake on your behalf (a skilled contractor will be able to highlight all the by-laws and restrictions that you need to be aware of).
#4 Get proper financial support
One of the big reasons for cutting corners is a failure to secure financial support for the project. But with the quotes in hand, along with the advice from your real estate agent and designer, you’ll now have an idea about the cost of the renovation as well as the likely value of the property upon the completion of the project. You can then approachyour local bridging finance brokers with all this information and they’ll be able to help you secure the right kind of financing as quickly as possible. In fact, the more thorough you were in steps 1,2 and 3, then the easier it will be for your broker to help secure commercial financing for your renovation project. Your broker will also help you be aware of expenses that you need to budget for that you weren’t aware of. And there you have it: 4 steps to speeding up your renovation without scrimping on quality. Spend enough time on these four and you won’t need to worry about juggling time, money and scope.
If you’re ready to find the right finance for your development, then get in touch today so we can discuss your options.
Article By Ben Lloyd
October 1st, 2014
Ben is the Director and Co-Founder of the Pure Group and Managing Director of Pure Property Finance.
Following a career in Barclays, where Ben was in the real estate finance team for 8 years, he decided that the market needed a more forward-thinking type of commercial brokerage so founded Pure Commercial Finance (now Pure Property Finance), the first company within the Pure Group.
Ben has extensive experience across the real estate sector and has participated in over £2bn of real estate transactions during the course of his career.
Ben oversees the general strategy at Pure Group and works with the senior leadership team to drive the Group forward. Ben is also on the Executive Committee of FIBA.See more articles by Ben