Cost Control And Management For Real Estate Development Projects

Cost control is one of the three elements of the project management; it is also an important element for real estate development project management, and throughout the whole process of real estate development project. Therefore, it is the issue which every real estate company pays close attention of, whether private or listed companies. The real estate industry has become a high risk industry, because it involve huge amount of capital investment, long construction period, high professional skills, and great impact from government policies and market uncertainties. If real estate companies want to stay on an invincible position and get good value for money in the current intense market competition environment, also under the strict government regulations, they must have advanced management concepts, mature process system, effective and reasonable development cost control.The ideas and specific method for cost control in the real estate development process are analyzed and discussed in following three points in this essay:(1) Firstly, establish and improve relevant cost control system, that is target cost system, responsibility cost system, dynamic cost system, and post-evaluation (summary) system for cost control.(2) Longitudinal analysis how to conduct cost management for cost managers during various stages in the whole process for real estate development, which including the systems, processes, methods and software used.(3) The original point of the present paper, on dynamic cost management of real estate development projects proposed a method in which to grasp the whole project dynamic cost components and the development trend of using a table, for cost control of the project has made a change to simplify, clear clear thinking.(4) Cited the business plan preparation process and the development of a project in my actual work done in the investment decision-making stage for cost managers draw reference.This article related to real estate development cost control system, and the system processes the various development stages of the implementation of cost control made a summary presentation, hoping to provide a reference for its own dynamic and innovative cost management cost control for the real estate industry.