Why it’s important to do background research on a property developer.

A row of apartment buildings developed by a property developer on a sunny day.

Did you know that there has been a concerning increase in unsuitable high-rise developments in recent years across Melbourne? Some property developers in Melbourne have come under scrutiny with the sub-par selection of building materials such as combustible cladding and budget blowouts. With issues like these in today’s property market, it’s hard to make a confident decision about purchasing your next property.

Unfortunately, it can be challenging to find a new property that ticks all the boxes. We all want a property that’s in a great location with features like a nice interior and exterior. But what we get advertised and promised isn’t always necessarily what we get in the end. Today we’ll share five tips to help you find the perfect place to live in, whether it is a high rise or a stand-alone complex.

1. If previous projects exist, look into them

One of the first things we recommend doing is to do some research on your desired property developers. This research includes looking into a property developer’s previous projects. Previous developments will give you a great idea of the quality of work carried out by the developer on previous neighbourhoods. This research will also give you an insight into the developer’s style. If the style of homes doesn’t match your expectations, you may want to look elsewhere.

2. If no previous projects exist, avoid

When you are doing your research, if you cannot find any previous projects, this can be a big red flag. If the developer is new to the world of developing, you should continue to research further. If you do more research and can’t find any previous projects or reviews, just keep looking. It’s a risk to go with a startup developer, and you should use your best judgment when making these decisions.

3. Inspect the property yourself

When you’re researching a property developer, it can be a great idea to check out their previous work in person. This research may require a lot of travelling, but the end result is definitely worth it. By visiting a site in person, you will get an honest look at a property instead of an old photo or 3D image of it. Another perk of visiting in person is that you will get a feel for the area that the property is in. If you have the time, stick around until nightfalls to see how safe you would feel living in that specific area.

4. Be aware of consumer protections

Being up to date on current legislation is another great way to be aware of dodgy developers. Some developers make a habit of offering one price at the beginning of a transaction before upping the price dramatically towards the final stages of construction. There are now laws that protect consumers from dodgy developers. 

These new laws stemmed from an abundance of vulnerable first-time homebuyers in Melbourne. Lawmakers have put new legislation into effect to help hard-working families find a great place to live without being misled along the way. Staying up to date with evolving laws regarding home buying can make you feel more confident that you are getting a good deal.

With over 50 years of experience, Five Squared is one property developer that excels at creating aspirational homes and neighbourhoods at an affordable price.

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