The feedbacks gotten from readers of our blogs on the six tips of turning real estate into a real fortune in Nigeria have motivated us to continue this series all along. Our last five blog publications have presented the first five tips on how to turn real estate investment into a real fortune. The last of the six tips is the central discussion of our blog publication today:
- Profit is in the purchase.
You need to source property transactions that contain some core elements: they take the shortest amount of time to complete, and provide the maximum amount of profit while minimizing risk and the amount of cash you invest initially. Before really embarking on the purchase of a property, solidify your A-Team (advisors whose opinions you trust – South and Sttes Properties Limited can help here) and B-Team (investment associates who provide the needed funds).
Once you have a profitable investment plan, pull the trigger. Don’t just have a backup plan — ensure that even the most airtight scheme has at least five exit strategies. Experience has taught us at South and Sttes Properties Limited that the winds of a favourable real estate market can shift rapidly; the last thing you want is to be anchored to a dozen unsellable properties.
Finally, you need to know the difference among buying, holding, and trading. Buying is a not a big deal, but it’s what you do with a purchased property that determines your investment success. At South and Sttes Properties Limited, our primary strategy has been holding onto commercial real estate properties for a long term and trading out residential properties quickly. All you need to do is to know your market.