Real Estate In Nigeria_ No secret everything you need to know
If you searched for real estate in Nigeria, I want to assume you're a new investor, probably you aren't based in Nigeria, but you need a very useful and and detailed information before investing in any property in Nigeria.
If that is the case, then you're in the right place, because I am into real estate, and I promise to give you an accurate and useful information so you won't make any unnecessary mistake.
So let's proceed. To invest into real estate, there are certain things you need to consider which are;
1. Think About Your Budget
Yes you really need to consider that because your budget determines the kind of real estate strategy you will use, the location of the property, and the type of property you will invest your money into.
Check for some of the lands we have, the prices and location to see if your budget can allow you to invest now, or save more. Here Lands For Sale
Shortly I will be showing your types of strategy you can use when investing into real estate in Nigeria.
2. Work with a Real Estate Professional
Now. I feel like shouting this, because this is extremely important please you can't enter into the real estate industry alone, it's too risky because the rate at which 419 land sellers are stealing people's money is Alarming!
Real estate fraud especially in Lagos has deeply affected over 500,000 victims last year and this has also resulted to over N5billion Naira in losses traced to dubious land sellers.
There is a story of a man that got scammed of N7.5million naira by some wicked land sellers. You can avoid this costly mistake when you work with a real estate professional.
What do I mean by a real estate professional? I mean you should work with property lawyer and a trusted real estate agent.
These are some of the questions you need to ask a property seller:
- Has the land been sold to more than one person?
- Is the land under government acquisition?
- Is the land dry or swampy?
- Does the land have a title document?
- Is there any hidden signing fee you are to pay after the purchase of the land, and also any hidden development fee, Omonile fees, fencing fees etc.
These are the reason I said you should get a property law to help you, because you might not remember to ask all these important questions.
And also your lawyer will read the contents of the agreement to you line by line and he will explain all the legal jagon to you, before you sign it.
3. Think About The Type Of Investment Strategy You will Use
When I say real estate investment strategy, I mean how do you want to invest into the real estate business in Nigeria. Here are some of the strategy to use when you want to invest into the real estate business.
Real Estate Investment Strategy
1. Invest in rental properties
A property that has reliable tenants will generate cash flow on a steady basis. One of the ways to ensure this is to carefully screen applicants for a rental property.
For investors looking for passive income, hiring a property management company is essential. For a fee, a property management company will handle everything from tenant screening and security deposits to maintenance between tenants and even evictions.
2. Buying and holding properties
Buying and holding is also known as rehabbing. To make this strategy work, an investor should look carefully at the return on investment of any improvement and act accordingly.
The underlying idea is that properties will usually appreciate over time.Buying and holding can be applied to any type of asset class, from single-family homes to apartment complexes.
3. Flipping properties
The difference between renovating a property for a long-term rental and a flip is that flipping entails renovating and then selling. Success in flipping is measured by how quickly the property is sold.
Flippers are seeking below-market-rate real estate deals, and quickly turning them over. But flipping a property subjects the seller to higher capital gains taxes than if a property is held for at least two years.
Successful flippers have a system in place, from access to affordable materials, a crew that can provide high-quality work at a fair price, and a real estate agent who can sell a property quickly.
How to invest safely into real estate in Lagos
You need to seek for knowledge and employ the service of a property lawyer, and a trusted real estate agent to help you.
Is real estate profitable in Nigeria?
The short answer to your question is yes. Real Estate is very profitable in Nigeria.
Starting a real estate business as an investor or becoming an agent in Nigeria is a proven way to make lots of money.
Real estate business is very profitable in Nigeria aside Oil and Gas and remains one of the longest-standing and competitive industry with many new and established players.
Most of the richest people in Nigeria and in the world have one form of real estate investment or the other in their portfolio.
The rapid population growth rate in Nigeria made the real estate sector remain very lucrative as people are looking for commercial outlets daily, office building, houses to rent or build a home of their own, and they sometimes need to consult real estate agent or experts before making their choices.
Although profitable, starting Real estate business in Abuja, Lagos, Oyo, Port Harcourt, Uyo, Owerri, Enugu and other cities comes with challenges and hurdles. But with adequate knowledge and assistance, you will enventually succeed in this business.
What you need to know about real estate in Nigeria
To to invest into real estate in Nigeria, these are the things you need to know and do.
1.Look For A Trusted Real Estate Agent
You may be surprised at how many real estate agents there are in any Nigerian city, such as Lagos. To make sure you find a great one, start by asking friends and family for recommendations.
Then, do some research: check out agent websites and read online reviews before making your final decision.
When meeting with potential agents, ask them questions about their experience and customer service; if they seem hesitant or unsure, move on to somebody else.
2. What Type of Property Do you want
As you begin looking into investment properties, it’s important to familiarize yourself with different types of properties that could be right for you.
It’s likely that your first few purchases will be apartments or houses (single-family homes), but there are other options out there like duplexes, triplexes, and fourplexes.
All of these can potentially be very profitable, but it’s best not to get ahead of yourself; start small and work your way up.
Also, keep in mind that larger buildings require additional oversight when you’re managing them. To avoid headaches, don’t get overly ambitious too early.
3. Think Of Location
No matter what kind of real estate you’re looking for, it’s important to think about where you want to live.
If you’re interested in owning a home near your place of work, choose an area with plenty of economic activity.
Conversely, if you need an affordable place to live but don’t want that location to put a strain on your commute time or budget, look for areas that are not experiencing much growth or development.
You should also consider price when thinking about location; areas with higher housing costs may have better amenities and entertainment options but could be cost-prohibitive depending on your budget.
4. Insurance
Every real estate investment comes with risk. But you can minimize those risks by properly insuring your investment.
Talk to an insurance agent about getting coverage for your new property, which will ensure that your investments are covered should something go wrong—be it fire, flooding or theft. And don’t forget about owner and liability insurance too.
Owner’s coverage protects against damage to the building itself, while liability insurance covers lawsuits arising from slip-and-fall accidents or tenant injuries on your property.
If you need help on how you can safely invest into real estate in Nigeria, you can send me a message on WhatsApp. Click the link to chat with me directly
Real Estate in Nigeria PDF?
To get all the information you need about investing into real estate in Nigeria into your phone, I can send them to you. I do a weekly training for all my customers and prospect on WhatsApp, The training is all about showing how you can avoid losing your money to land scamers. This training is FREE and it's on WhatsApp. To get it, click on the link to send me a message on WhatsApp.click link to get the real estate training
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