My 3 BIGGEST Mistakes in Property
Dec 03, 2022
I thought you might like to hear about my top 3 biggest f*ck ups? Interested? I thought so…
- Trying to be Superwoman
Literally taking on every single job I came across on a development site; cleaner, labourer, delivery driver, dinner lady, drainage expert, brick cleaner, architect, marketing, sales, interior designer, site manager, you name it, I did it.
The result…? It just prolonged the development because it was an inefficient way to work.
Now I have people to do all of these jobs and I just oversee the process.
- Ignoring my gut / trusting the wrong trades
Ever get that feeling that a trade is lying/ taking the pi$$/ brushing a problem under the carpet? They probably are then.
I trusted a builder that wanted to finish the renovation of one of my properties quickly by not installing a damp course. I came to regret his advice pretty quickly after the whole property had been replastered and damp patches started to appear around the walls. This culminated in the mortgage valuer recording an ‘unmortgagable’ verdict until damp was repaired. Six weeks later and £2.5k lighter the damp course was installed, and I was able to refinance the property.
Trust your gut!
- Running out of work
It’s never a nice feeling having to lay off people that work for you, but that is the reality if you don’t keep your project pipeline stocked.
After two deals going wrong, I was left moving contractors from a site of 26 houses to a site of three. Naturally I had to downsize the workforce. It will also be reflected in the negative cashflow into the business next year.
I wish I’d learned this lesson earlier. Projects can take years to come to reality, so you have to keep that pipeline well stocked. Keeping good trades busy is a good business move.
I hope those lessons I shared help you on your way to building your property business.
Actionable tip: Write down your three biggest mistakes and how you overcame them to improve your business for the better.