Getting Started in Design-Build for Real Estate Investing

[Joshua Stewart]

I am a residential designer and also a former construction manager who oversaw rehab on hundreds of REO's for a national company going back 5-6 years ago. In recent years I have been working in design in some form or another, mostly on new construction of single-family homes. While I am not a licensed Architect, in my area (and in most areas of the US outside NY) you do not have to be a licensed Architect to design a single-family home and some multi-family projects.

My goal is to eventually do design-build of single-family and multi-family (townhouses) while also being the developer/investor.

What advice would you Investors and/or Builders have for someone wanting to get started on that path?

I currently live in Charlotte, NC but am originally from the Pacific Northwest with strong family ties to Southern California and would like to eventually be a Design-Build-Developer in all three areas.

[Richard Z.]

I will try to bring people in when you have finished your project.  Either using open house time, put a sign, or just spread word get people to see your project. Then you shall find somebody really like/love your house(could be floor plan, quality workmanship, and/or finish touch etc.) and they might be also looking for builder for their own projects. Those are the easiest prospects that you can develop some business.   

Another advantage of building for those clients is that they saw your finished product, if they like your floor plans, material selections, finish touches, it would be very easy to incorporate their project into your own project pipeline. You are more likely could use similar design, same vendors, and subcontractors so that it will not cause you much extra overhead to take care of their projects. It will help you to scale up by doing their projects. and same time you should be able to offer them better price than other typical design-builder companies - That could be your value adding advantage when you do design-build as a developer.

Just my 2 cents..