How to get the Best out of Nigerian Properties and Real Estate as an Investor
A couple of tips have helped the most successful Real Estate investors so far. It is not those who have charged the most, or those with properties in high profile areas of a city, but those who have been able to study the market and apply certain principles to get the most out of the property market. Outlined below are a couple of ways to get the most out of the properties and Real Estate in Nigeria, as an investor.
1. Know what you are getting into: The sale of properties in Nigeria could be very dicey when it comes to getting the best deal. In as much as it is capital intensive and it’s also a very slow market, even in popular areas, a proper look should be given to the demand for the various properties there so as to reduce the time it will spend in the market. Also, a closer look should be given to the general price of properties in the area to avoid tagging ridiculously low or high price tags to one’s building and to see if any advantage could be had over other property owners in the area.
2. Consider whether you want to hire an agent or be the agent: While marketing your property could save money and insure the chances of a better deal for yourself, the stress and time involved could really take a lot from you. Hiring an agent could reduce this but a fee has to be paid to them. A good agent would handle your properties as well as deal with any problems that might arise. A proper consideration of this factor should be made.
3. Explore less obvious options or uncompleted buildings: Properties and lands are usually very expensive in big cities; so much that before the profits would start coming, a life time is almost over. Same goes for new buildings. A thorough look at the property market for distressed sales and upcoming areas would make for better deals. Uncompleted buildings and properties that need renovation could also make for good deals if one knows how to bargain.
4. Avoid being over ambitious if renting out: A lot of houses and properties are bereft of occupants because the owner believes people should pay the high price he has demanded or forget it. Make no mistake about this; only a few uninformed people would rent a property at an exorbitant price without considering other options first. Just because a property is in a high profile area should not make the owner charge too high for it. (People do not pluck money from trees)
5. Work on your bargaining ability: The ability to make a seller see why he should sell his or her property at a particularly price would always come in handy especially in a capital-intensive business like Real Estate.
Just like every other business, it is of high importance that proper research and an understanding of the existing Real Estate potentials of any location be made before venturing full time into the business.
