If there is any business in Nigeria that is truly lucrative and extremely profitable, it has to be Real Estate business in Nigeria. Most of the top billionaires in Nigeria are real estate investors. The business is a money making ventures .
Real Estate is currently booming in Nigeria and people are making millions in it. Today, we want to take a closer look at the business and see how you can invest in this sector of the economy and make serious profit.
One thing very good about real estate business in Nigeria is that the investment opportunity is so diverse that there seem 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. Let us see how it works.
Benefit and Profit Potential in Real Estate Business.
Before I proceed with this discussion, I want us to look at the profit potential of Real Estate Business in Nigeria.
In 2017 I bought a plot of Land in Owerri Egbu Road which I intended to start up a small Hotel Business, I paid ₦500,000 for the land excluding Agent fees and Land Survey.
In 2020, I changed my mind and decided to sell it. When I asked the estate agents how much property was going in that area, they told me the current price as at then was three million naira. And that my own which is very close to the main road will go for between 4 to 5 million naira. If I had bought more plots that was offered to me for ₦500,000 each, I would have made millionaires of Naira from that single Deal.
A novice like me that don't know much about the Real Estate business made about 4.5milllion Naira in a single deals, for a land that has just stayed about 2 and half years under my custody. Then imagine what the professionals who knows the ins and outs in the business must be making.
I know how some of the millionaires in the industry started. Some of them started as small real estate agents in a kiosk. Today, they control the finest estates in Lagos, Abuja and other major cities in Nigeria.
Investment Opportunities in Real Estate
Investment opportunities abounds in Real Estate. Start with what you have. As you grow in the business, you can expand your portfolio. Or you can start big straight away if you have access to capital. In this article, I will only deal with real estate categories that are peculiar to Nigeria.
Here are some of the areas you can invest and make your own money without tears.
1. Land Flipping
This means buying of land and quickly reselling it for profit. This is one of the smartest investment in the industry and requires no effort whatsoever. Just your money and knowledge and you are good to go. You will need substantial amount if you want to make hundreds of millions but you can start small by buying just one plot and grow to buying tens of plots and acres of lands and keep selling all year round.
2. Open Space Leasing
This 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 business that wants to develop a makeshift outlet such as car wash and mechanics. They will be paying you monthly rentage while the property still appreciates for future sell. It is like borrowing money for someone and get paid double interest and still get your money back.
3. Real Estate Agency
This one is the simplest and easiest of them all. It is not investment per say but service rendering. How it works? Go round and look for properties to let and for sale, advertise your service and help secure clients for the property owners, you will be paid percentage as commission base on the amount the property is sold or rented. You can start with little or no money and if you are smart enough, you will grow to become a giant realtor.
4. Property Development
This is where the big guys in the industry are doing their stuffs. They acquire properties in nice locations, develop it into luxury apartments, commercial structures, etc and sell at a very high profit margin. If you spend N200 million to develop a property, be sure you are going to sell for N400million.
5. House/Office Rent
Build a house and put it up for rent, get paid all year for a life time. And the Property still appreciate in Values with time .
Above are few of the opportunities that are Abundant in Real Estate. You can apply them and change your life entirely .
Real Estate Business is a big Business and it never dies with time
0 Comments:
Post a Comment
Your Views are needed.Thanks!