Perhaps, you have considered that you can’t play the investment game in the real estate market because of the high cost of real estate not just in Nigeria which is rapidly developing but in the world at large; you may be wrong because people in quite similar conditions as you presently are have found ... Continue Reading
Perhaps, you have considered that you can’t play the investment game in the real estate market because of the high cost of real estate not just in Nigeria which is rapidly developing but in the world at large; you may be wrong because people in quite similar conditions as you presently are have found so many lucrative ways to deal in property and invest in the real estate market. There is no doubt that investing in the real estate market is one of the most effective tools for wealth creation. Historically, a substantial proportion of the world’s wealthiest people have had real estate playing a crucial part in the accumulation of their fortune. If it is your desire to build your financial capacity and become financially free as well as successful, the real estate market should interest you, as it could be a key part of a formidable investment portfolio.
If there must be any business in Nigeria that is truly highly lucrative to the highest point, it has to be real estate business and it’s market. Many of Nigeria’s billionaires are real estate investors. It is a money spinner of the highest order indeed. The real estate market in Nigeria is currently booming and people are making millions in it. This is because Nigeria is a rapidly developing economic giant in Africa with a vast range of investment opportunities for business entrepreneurs especially in real estate. Let us take a close look at the real estate business market and explore some viable opportunities.
One thing extremely good about real estate business market is that the investment opportunities are so diverse that there seems to be something for everyone. Anyone who wish to invest can invest whether he has thousands or billions of naira, you can even invest without a dime in your pocket. So, let’s see how it works. Look at the words of renowned financial educator, Robert T. Kiyosaki below:
“Real estate is a powerful investment tool for anyone seeking financial independence or freedom. It is a unique investment tool. Yet, every time I mention real estate as a vehicle, I often hear, “I don’t want to fix toilets.” That’s what Peter Lynch calls “noise.” That’s what my rich dad would say is the cynic talking. Someone who criticizes and does not analyze. Someone who lets their doubts and fears close their mind instead of open their eyes.” So when someone says, “I don’t want to fix toilets,” I want to fire back, “What makes you think I want to?” They’re saying a toilet is more important than what they want. I talk about freedom from the rat race, and they focus on toilets. That is the thought pattern that keeps most people poor. They criticize instead of analyze.”
The real estate market is indeed a very viable market with vast investment opportunities, a lot of people seeking financial freedom in Nigeria are oblivious of this fact while others that know think only on the disadvantages which amount to nothing compared to the benefits to be reaped such as maintenance. Besides, here in Nigeria, there are other real estate investment opportunities aside from property development and management as we will see here in this post. Check out the following real estate investment opportunities in Nigeria:
1. House/Building Renting
This is what I like to call ‘investment for lifetime cash flow’. To be honest with you, renting houses or other buildings like offices is a great source cash flow. An asset like a residential block of flats in a place like the city of Abuja will pay you millions yearly if you choose the right environment. Don’t just go for places that are already developed, go for environments that have a great potential for future explosion in population and infrastructural development and you’ll be glad you did. Build a house and put it up for rent, get paid all year for a life time. That is exactly how this works. I will be releasing more detailed articles to guide you step-by-step on how you can in this real estate market.
2. Land Flipping/Reselling
This simply means buying of land and quickly reselling it for profit. I have watched so many people build their fortunes by maximizing this great investment opportunity in the real estate market in Nigeria. This is one of the smartest real estate investments in the market and requires no effort whatsoever. All you need is your money and financial knowledge and you are good to go. You will need substantial amount of money if you want to make hundreds of millions but you can start small by buying just a plot and growing gradually to buying tens of plots and acres of lands and keep selling all year round.
3. Open Space Leasing/Letting
Open Space Leasing works in a simple and unique way. Buy a property in a good location and lease it out for makeshift use. You can lease it to churches or businesses that want to develop a makeshift outlet such as car washes and mechanics. They will be paying you monthly rantage while the property still appreciates for future sell. That way, your property will be working for you and earning you cool cash while it appreciates instead of just leaving the land property dormant as it appreciates. It is like lending someone money and getting paid double interest after which you will still get your money back.
4. Property Development/Management
This is where the big investors in the real estate market make their money. They acquire properties in nice and very expensive locations, develop it into luxury apartments, hotels, commercial structures and so on and sell them at a very high profit margin or rent or lease them as the case may be. Owning a three star hotel in a place like the Victoria Islands in Lagos or in Asokoro/Maitama in Abuja will earn a real estate investor enormous returns in the long run. A good property manager is the key to success in this real estate investment opportunity and you will need the services of one. Even though this investment opportunity requires a large amount of capital, it is well worth it. You can generate this capital from the other less capital-intensive investment opportunities above and then proceed to this very viable and profiting market.
Great real estate investors do not usually need a dime to start. I have observed many real estate investors start with nothing but using what they call “good debt”. So many of us do not like the idea of loaning and having to pay high interests later to the lender. But if you do your due diligence by studying the market and ensuring you have gotten a prospective buyer before borrowing, you can pay back the money you borrowed after selling the property at a higher price even before the interest rate starts counting. I really hope this article has been helpful. You can subscribe to our newsletters and keep visiting to get great business and financial success ideas and insights.