Developers...scum or poor losers?

[Skyryder]

We are all greedy people, ya gott agree eh? - but these developers have taken greed to a stratospherical level...

Yep and those that get there rarely come back to face the music.
They usualy have enough left over to pay their legal bills and continue with their bling bling lifestyle.


Skyyrder

[Timber020]

So how come they get people to keep working for them?

Some find it VERY tough to find guys, I got offered to be paid up front by one that was really deperate. I still turned him down because he was an utter prat.

When your self employed or run a small business unless your phone rings your unemployed without a benefit, guarenteed work for a long period of time can be very tempting.

[idb]

...When your self employed or run a small business unless your phone rings your unemployed without a benefit....

Yep
2345678910

[Bullitt]

So how come they get people to keep working for them?

I didnt say I worked for them...the property developers Ive dealt with in the past would rather have not dealt with me Gladly for me Im not involved in that anymore though

[Winston001]

The Capitalist system at work, some win, some don't......

Well.......yes, I'm afraid you are right. That's why a social democracy - which is what NZ and most Western countries have, is preferable to pure capitalism.

I agree with everything said here about developers - scum of the earth.

But...Unpalatable as it sounds, bankruptcies and business failures are part of the price and efficiency of capitalism. As an economic system which rewards risk takers, it encourages innovation. New stuff come from entrepreneurial energy.

When it goes wrong, there is a recycling of expensive stuff through auctions, quick sales etc which has the effect of spreading the risk-takers capital through the community. Of course the risk-taker loses and so do others who have trusted him. However others win by being able to buy equipment, partly built buildings etc at realistic prices.

[scumdog]

Well.......yes, I'm afraid you are right. That's why a social democracy - which is what NZ and most Western countries have, is preferable to pure capitalism.

I agree with everything said here about developers - scum of the earth.

But...Unpalatable as it sounds, bankruptcies and business failures are part of the price and efficiency of capitalism. As an economic system which rewards risk takers, it encourages innovation. New stuff come from entrepreneurial energy.

When it goes wrong, there is a recycling of expensive stuff through auctions, quick sales etc which has the effect of spreading the risk-takers capital through the community. Of course the risk-taker loses and so do others who have trusted him. However others win by being able to buy equipment, partly built buildings etc at realistic prices.

True - but would that those potentially at risk were told they were in that position before they got 'burnt'.

[Winston001]

Are there any financial people out there (apart from me) that can tell me how someone rocks up to a finance company and has no money but gets provisional funding for a multi million dollar development?

I'm no financier but I'll take a stab. Basically no-one can do what you suggest. They start small. Buy a house and subdivide a section, get a taste for it and buy a larger piece of land. Often do it in partnership or with a backer - family, whoever.

Some people really do have a knack for finding a piece of ground at the right price, with a vision for what can be done with it. Timing is critical however. Land values have risen pretty spectacularly in the past 10 years so developers didn't have to be very clever to win. That encouraged them to get bigger and more extravagant........

The finance companies need to lend their money to someone. Car/plasma TVs/furniture is kinda risky but land - now that is gold security. Here - have a million. It works 95% of the time, even when the economy slows down, but when there is a crash......even good lenders and reputable developers go down too.

[scumdog]

I'm no financier but I'll take a stab. Basically no-one can do what you suggest. They start small. Buy a house and subdivide a section, get a taste for it and buy a larger piece of land. Often do it in partnership or with a backer - family, whoever.

Some people really do have a knack for finding a piece of ground at the right price, with a vision for what can be done with it. Timing is critical however. Land values have risen pretty spectacularly in the past 10 years so developers didn't have to be very clever to win. That encouraged them to get bigger and more extravagant........

The finance companies need to lend their money to someone. Car/plasma TVs/furniture is kinda risky but land - now that is gold security. Here - have a million. It works 95% of the time, even when the economy slows down, but when there is a crash......even good lenders and reputable developers go down too.

A good post you coffee drinking tent-occupier but I wish the pitfalls of the above were always explained to those who are encouraged to spend their cach on 'developement', some have no idea of the risk.

[idb]

.....

I agree with everything said here about developers - scum of the earth.

.....

Bullshit.
Everyone makes their money somehow and there are arseholes in every area of endeavour.
I work almost exclusively for developers and there are good and bad.

[Winston001]

True - but would that those potentially at risk were told they were in that position before they got 'burnt'.

Ah yes, that sadly is a basic premise of being in business, being self-employed. It is risky. You are never guaranteed you'll be paid unless you get the money up front.

In theory there are things which suppliers and subbies can do to protect themselves but if they want the work......most just trust the system and largely they are right. If that wasn't true, nobody would ever go into business.

[Winston001]

Bullshit.
Everyone makes their money somehow and there are arseholes in every area of endeavour.
I work almost exclusively for developers and there are good and bad.

I sense.......anger?.....annoyance?.....

Spit it out man, don't hold back. Feel the rage.......

[scumdog]

Bullshit.
Everyone makes their money somehow and there are arseholes in every area of endeavour.
I work almost exclusively for developers and there are good and bad.

At least the arseholes I meet guarantee my income.

Nice people would end up with redundancy for me.

But you at the 'coal-face' can pick the winners and avoid the losers - and hence guarantee you will lose jack-shit.

[idb]

I sense.......anger?.....annoyance?.....

Spit it out man, don't hold back. Feel the rage.......

Sauvignon Blanc and mild annoyance at a sweeping statement..and pissed off that I've run out of red (bad planning...bad, bad, bad...!!!).

[Timber020]

Bullshit.
Everyone makes their money somehow and there are arseholes in every area of endeavour.
I work almost exclusively for developers and there are good and bad.

what do you do for them? often depending where you are on the food chain or local conditions depends on how well or badly your treated

[scumdog]

Sauvignon Blanc and mild annoyance at a sweeping statement..and pissed off that I've run out of red (bad planning...bad, bad, bad...!!!).

Go for muscatel in a paper cup... just reeks of class!!