How does one become a real estate developer?
RestlessWarrior asked:
Is there any one way to do it? Do you just have to have a well paying job and just go from there? Can you major in something like Real Estate Developing or Land Development or something along those lines? I’m interested in becoming a developer for cities and such, but I’m not sure if this is realistic, and how one goes about becoming a developer. Thanks!
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Is there any one way to do it? Do you just have to have a well paying job and just go from there? Can you major in something like Real Estate Developing or Land Development or something along those lines? I’m interested in becoming a developer for cities and such, but I’m not sure if this is realistic, and how one goes about becoming a developer. Thanks!
December 23rd, 2009 at 6:56 am
To be a developer, you need to:
1. Raise a lot of money (millions of dollars)
2. Put your entire savings and credit on the line
3. Stress over getting projects started
4. Pray you don’t get caught in a market downturn zeuz
December 24th, 2009 at 5:11 pm
Aside from the builders who became developers out of necessity to provide the improved property that they needed for their primary business, most “pure” developers entered that business as a sideline, either as investors or in an ancillary business such as architecture, land planning or finance.
Although there are several universities that offer programs in construction, I know of none that have undergraduate programs in development. The Urban Land Institute (http://www.uli.org/) is the professional organization to which most developers belong and they conduct a number of conferences and seminars on that business but it is not a “how to” series of programs but rather a “how to do it better” series.
Having been in the development business for 40 years, I learned by the seat of my pants and am still learning today. To be successful takes patience (most deals that you work on do not happen), lots of money (either yours or someone else’s), a wide series of networking contacts both professional and political, a absolute willingness to assume risk and a very long-term goal of return.
Good luck! If you are interested, I have a blog that addresses some of the issues in building and development - Daniel R.