Real Estate Investment

Real Estate Investment: The Time AheadTeni, a friend of mine was only 10 years of age when her dad purchases an empty building from a realtor. At the long run, when he decided to hold the property, he turned into a public toilet. She was 15 years when her father died but unknowingly to the family an account was created for the returns of this investment. Many years passed by in the dealt of life experiences, an individual which happen to be the caretaker of the investment comes up to hand over the property to their care. The future value of real estate investment can’t be overemphasized. Real estate is one of the fastest growing sector in global economy. Many people focus on housing and land when we talk about real estate forgetting it cover a wide scope of investment such as rent, leasing, farm land, purchasing of machineries, plants and equipment. As an entrepreneur, there are five (5) things you must learn before you invest in real estate.Don’t start big: It is unrealistic to say that there is no risk in businesses, of course that is a myth. Every business has its own risk. A wise business man finds every possible way to reduce his business risk, do not purchase a property with all you have in your bank account, investment fails sometimes. Start by acquiring small property, if it works out then you can invest in a bigger one after acquiring adequate knowledge.Know the nitty-gritty of the business: Leap before you jump, don’t rush into a business you don’t have adequate knowledge about. Learn all the nook and crook of the business and if possible contact a lawyer to help you check that all documents are well understood and clear before signing. Have a knowledge of what drives the real estate market.Grow your investment profile: After a successful investment, don’t consume all your returns. Use the money you get from investment returns to purchase another property. Buy-and-hold strategy: In the real estate market, value tends to move upwardly on a positive trend. You can decide to purchase a property and hold on to it. You can lease or rent it out just like my friend dad. One of the advantage of this strategy is the availability of good deals in the market and the dynamic of real estate sector.Embrace networking: You can purchase a property with two or more people. As an entrepreneur, you can decide to buy a share of a real estate investment from a company. However, it is very pertinent that you strike a legal deal. Remember, every business has its own risk. Another important thing is that as an investor you must build a strong and healthy relationship with your clients.Leverage of money, people and opportunity: Sometimes ago in my former place of work, a friend approach me and introduce a very juicy real estate investment. Later on, I change my company and I introduced the opportunity as well to my new colleagues. There is an advantage in keeping your networks. Don’t keep shut, tell people about what you do. Leverage on an opportunity that comes your way if you have the money, not every business is illegitimate. Meanwhile, make your research.Of Course! Be patient: In this sector, patience is the strategy. Real estate investment follows the dynamic of the global market, most times the investors are the real gainers, while the speculators are losers. Learn to be patient, don’t sell off your investment quickly because of a good deal. Take your time, a juicier opportunity will come your way.