Ep 347: Is property development an effective way to build wealth?

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In this episode, we take a deep dive into property development as a wealth-building strategy. Using real-life case studies, we explore whether small-scale property development offers better returns than traditional buy-and-hold investing.

🔹 Does developing property really pay off?
 Stuart analyzes a 20-year property development case study, showing how one investor turned $270,000 into $1.4 million—a 14.8% after-tax IRR. But does this kind of return hold up in today’s market? Rising land and construction costs have changed the game, making high-IRR developments harder to achieve.

🔹 Key insights from the numbers:
 ✅ How land appreciation and construction costs impact development margins
 ✅ Why higher capital contributions may lead to greater wealth accumulation
 ✅ The realistic return expectations for developers in today’s market
 ✅ When buy-and-hold property investing could be a better long-term strategy

💡 Should you invest in property development?
 Stuart breaks down whether small-scale development is worth the risk—or if your money is better off in a well-selected, investment-grade property with a simpler buy-and-hold strategy.

If you're considering developing property, this episode is a must-listen! Tune in now for a data-driven breakdown of what works—and what doesn’t.

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