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As the real estate industry cools, the profit potential of property ownership has cooled as well. Heres a method called follow the designer. It is relatively easy to produce a profit whenever you sell your home if the market is rising sharply like it's experienced most of the country for the last 3 years. It becomes more difficult when a hot market slows down. Its very difficult to make a profit on the sale of your home when prices are falling. Is there a way to be fairly sure youll make when you sell your house a profit? There's under all however the most negative market conditions. In reality, Ive seen small, lively couples make use of this maneuver multiple occasions when they dont even have to go. Follow That Contractor In several areas of the nation, you will find builders who build hundreds of homes each year inside a fifty mile radius of each other. They build communities or are one of three to five contractors who build entire communities around major work centers. That provide you with an essential option. New Area Contractors will usually provide first phases of towns for less than later phases. On one hand, they need to obtain the income going. It is tougher to sell at high rates because the community typically contains dust lots and building equipment, on one other. Put the hands together and you have a fantastic profit opportunity. The idea is always to enter on the first section of the build out. You will purchase the house at a discount, gives you built in equity. You provide the house for an income at an increased value, as the area is built up. Browse this URL  [http://www.bellacasadevelopments.com.au/What-we-do/Renovations-extensions.aspx home renovations perth]  to compare where to provide for it. While youre achieving this, you track the contractors tasks and find still another location where you may do the same. Youll end up picking up good earnings as you go along and residing in each house for per year or more. To check up more, consider checking out:  [http://www.bellacasadevelopments.com.au/Portfolio/Renovations-Extensions.aspx study home extensions perth] . Really the only disadvantage is you have to move over repeatedly. Tax Implications Ive seen this work well for several it has been done by people who over and over again. However, you'll need to keep yourself updated that generating gain in this way might have tax consequences. In order that you're ready to deal with any tax effects you need certainly to discuss your plans (including profit potential) and expected moment with your tax professional.