There’s no perfect real estate investment in Nigeria. Not at all. Real estate can be a great way to invest. Real estate investments have excellent return potential and diversify your portfolio to insulate you from recessions and other adverse economic conditions. There are several ways to invest in real estate, each with different capital requirements, risk levels, and investment dynamics.
So what are these real estate investment in Nigeria ideas and hacks that you’ve been sleeping on?
This article aims at throwing more light on them.
BUILD A NEW HOME
In terms of real estate investment, this is like fixing and flipping houses. Building a new home can be an especially lucrative real estate investment in Nigeria’s strategy in markets with a limited supply of new homes to choose from.
In several ways, building a new home can actually be less risky than fixing and flipping an existing house. You generally know what new construction is going to cost. You don’t have as much potential to run into unexpected repairs as you would with fixing and flipping.
Although building a new home is time consuming. But it is worth the investment in the long-run.
FIX AND FLIP
In reference to the first point made, fixing and flipping houses is a bit like building a new one.
Here houses are bought for the sole purpose of making repairs and quickly selling it for a profit. House flipping has become popular in the past few years. And to be fair, there’s a ton of money to be made if a flip is done properly and goes according to plan.
However, it is important to note that in this category you make money only when you buy and not when you sell. This is a good idea when it comes to real estate investment in Nigeria.
RENT OUT YOUR HOME
This can be all or part of your home. With the emergence of platforms like Airbnb. It’s easier than ever to rent out your home when you aren’t around or to rent out a spare room in your home for a few days here and there.
PARTICIPATE IN REAL ESTATE CROWDFUNDING
Crowdfunding is a new real estate investment in Nigeria strategy that is fast growing. Here’s the basic idea. An experienced real estate developer identifies an investment opportunity.
Typically, these involve one commercial real estate asset and a value-adding modification. This could be as simple as restructuring the property’s debt or as complex as a complete renovation. There’s usually a target end date when the developer plans to sell or refinance the property. Instead of funding the entire project with their own money and bank financing. The developer raises some of the necessary capital from investors like you in exchange for an equity interest in the project.
BUY A RENTAL PROPERTY
This is the most obvious hack for real estate investment in Nigeria. Owning rental properties is an excellent way to invest in real estate while building wealth and generating income. The return potential is strong thanks to a combination of income. Including equity appreciation, and the easy use of leverage when buying real estate.
Brent Housing strives to set the standard for our industry and inspire others by raising the bar on providing exceptional real estate investment opportunities in the Nigerian growth markets. We can help you succeed by minimizing risk and maximizing profitability. Reach out to us now by clicking here to get started on your real estate investment in Nigeria journey.