With tough economic conditions, a large number of developers, entrepreneurs and home builders have been forced to stop work on buildings.
However, incomplete buildings can be a goldmine to the enterprising buyer but they can also be booby traps, the problems of which can swallow up vast quantities of investors’ cash.
Sometimes, they leave these buildings incomplete, says Bill Rawson, Chairman of the Rawson Property Group.
He points out that such buildings can then come on the market at a fraction of the sum of money that was spent on them before work was stopped.
Potential entrepreneurs are always approaching the Rawson Property Group to ask them whether it would be a good idea for them to take over, complete and then sell such buildings, he says.
While many of these ventures have been successful, he stresses that no one should go this route unless they have checked the existing building very thoroughly indeed.
He says it is essential to bring in a qualified engineer, architect or building inspector to do this job because the amateur will never pick up all the faults in an existing building.
All too often numerous hidden faults will be revealed by a trained person who knows what they’re looking for - foundations can be cracked or subsiding, waterproofing can be inadequate, structures can be out of line and plumbing and electrical wiring can be so inefficient that it has to be replaced.
This sort of problem can be very expensive and very difficult to rectify and they tend to be especially prevalent when the developer or builder was short of cash and took short cuts to get the job over and done with, he says.
However, incomplete buildings can be a goldmine to the enterprising buyer but they can also be booby traps, the problems of which can swallow up vast quantities of investors’ cash.
He adds that while they recommend this type of investment, they advise investors and buyers to tread carefully and call on the best possible advice before taking the plunge.
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