There are three forms of leverage you can readily use in a property business: PEOPLE, MONEY and TECHNOLOGY. You may well be naturally good at one or two of these, in which case, great. But when you learn to leverage all three to best effect this is a game changer.

People Leverage
As you grow you will inevitably ‘get in your own way’, and will be better off building off entrusting tasks to others (whether employed, outside consultants, virtual assistants or freelancers) who can get tasks done reliably, and magnify your own efforts within the business.
Money Leverage
The property business is an extremely hungry game, however, the fact that there are bricks and mortar assets involved means that finance is readily available, and if correctly used, this can magnify the funds that you start with. The key is that you need to be adding value in some way, not just relying on a rising market. This might be by means of renovation, planning gain, leasing to a good commercial tenant etc.
Talk to lenders and understand what they are looking for when they lend money. Stress test your developments and investments to see what happens when interest rates rise. However, you must understand the obligations you are taking on - what happens if interest rates rise, if you can’t find a buyer, what personal or company guarantees you are giving. Finance leverage is powerful but can cut both ways, particularly when the market turns - use it wisely!
Technology Leverage
We have more technology at our fingertips than ever before, much of it free or available for low monthly subscriptions. They allow us to manage our projects, our property portfolios and our finances, from our laptops or desktops anywhere in the world. We can share information and projects with others anywhere in the world, making collaboration easier.
And with AI in it’s infancy, there is a huge wave of technology that is coming around the corner. In some ways property is a pretty low tech sector, and as people will always need houses and places to operate businesses from, it’s a good place to be as this technology will be taking out jobs. The trick will be to make the best use of this technology to reduce friction in your property investments and developments.
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