{"id":12777,"date":"2022-03-15T14:20:07","date_gmt":"2022-03-15T13:20:07","guid":{"rendered":"https:\/\/www.propertypro.ng\/blog\/?p=12777"},"modified":"2022-03-23T08:48:25","modified_gmt":"2022-03-23T07:48:25","slug":"how-to-invest-in-real-estate-8-key-steps","status":"publish","type":"post","link":"https:\/\/propertypro.ng\/blog\/how-to-invest-in-real-estate-8-key-steps\/","title":{"rendered":"How to Invest in Real Estate: 8 Key Steps On Getting Started"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">It\u2019s <\/span><span style=\"font-weight: 400;\">a popular fact that real estate is one of the most rewarding investments while the stakes can be expensive, it yields great rewards when done properly. Currently, the supply shortage in Nigeria\u2019s real estate market affords private investors and developers high <\/span><span style=\"font-weight: 400;\">return on investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Like they say, if it is with it, you\u2019ll find a way. Same can go for Real Estate Investment.<\/span><\/p>\n<p><strong>So why should you be intentional in investing in real estate ?\u00a0<\/strong><\/p>\n<p><span style=\"font-weight: 400;\">As of 2011, only <a href=\"https:\/\/www.dataphyte.com\/latest-reports\/economy\/about-26-million-nigerian-households-do-not-own-their-homes-report\/\">66.3% of Nigerians were Homeowners while in 2021 the number has decreased to 62.0%<\/a><\/span><span style=\"font-weight: 400;\">. While this is an economic downsize with many just recovering from post pandemic disruption and increasing inflation.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The demand for real estate keeps increasing and your ability to make money off the market depends on your knowledge, the goal and returns you aim to achieve.\u00a0<\/span><\/p>\n<h1><strong>Here are some steps on getting on the real estate investment train<\/strong><\/h1>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Make research on the Real Estate Industry<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Decide on the specific property market<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Identify booming real estate markets<\/li>\n<li aria-level=\"1\">Invest in foreign real estate market<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Decide on where and how you would get the finances<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Get the details right<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Know the Law<\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">Look to the future<\/li>\n<\/ul>\n<h3><b>Make research on the Real Estate Industry:<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">If you are interested in the property market, there are platforms to find information you need, including the news platforms, knowledgeable individuals and of course <a href=\"http:\/\/www.propertypro.ng\/blog\/\">Real Estate platforms<\/a><\/span><span style=\"font-weight: 400;\">. You could also create <a href=\"https:\/\/www.google.com.ng\/alerts\">Google alerts<\/a>, just find a way to keep yourself in the loop of things going on within the Real Estate Industry. You have to understand it before you get into it.\u00a0<\/span><\/p>\n<h3><b>Decide on the specific property market<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Based on your investment goals, you need to pick a sector that would benefit you extensively. It could be office buildings, residential units, industrial properties, etc. It is also good to keep in mind that <a href=\"https:\/\/www.propertypro.ng\/blog\/4-simple-ways-to-invest-in-real-estate-in-nigeria\/\">some properties have faster returns than others<\/a><\/span><span style=\"font-weight: 400;\">, for instance, a shopping mall would probably get sold off before the construction is completed, while a residential property could take a bit longer to achieve the same.\u00a0<\/span><\/p>\n<h3><b>Identify booming real estate markets\u00a0<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Contrary to our above point, there could be a particular section in the investment sector that is getting hype but at a gradual process, and that could be for example the residential properties; as much as it is currently not as lucrative as some others, it has the potential to scale quickly in just a few years.\u00a0<\/span><\/p>\n<h3><a href=\"https:\/\/risevest.com\/real-estate\"><b>Invest in foreign real estate market<\/b><\/a><\/h3>\n<p><span style=\"font-weight: 400;\">Your investment portfolio doesn\u2019t have to be defined by geography. If you understand what you\u2019re going into, go ahead and diversify your portfolio. Like they say, the sky is just the starting point.<\/span><\/p>\n<h3><b>Decide on where and how you would get the finances<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">The source of financing would vary depending on where you are in life. It could be from relatives, close friends or financial institutions, you need to make sure you know what you are doing at every step. Make sure you have a viable plan which would be good enough to convince whoever you are getting the funds from. This is why picking the type of investment property is extremely important.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Although there are downsides to getting loans from Nigerian financial institutions, some of these downside include the limited options of institutions to get loans from, the shame and harassment when it\u2019s time for repayment; this doesn\u2019t have to be the case and we employ you to understand everything you are going into to avoid problems along the line.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Also pay attention to the interest rates to avoid going into debt, according to <a href=\"https:\/\/www.thisdaylive.com\/index.php\/2021\/11\/25\/hassles-of-obtaining-loans-in-nigeria-and-the-branch-solution\/\">this day<\/a><\/span><span style=\"font-weight: 400;\">\u00a0, some institutions offer 20% interest per annum.\u00a0<\/span><\/p>\n<h3><b>Get the details right<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Try to avoid entering into business with sketchy people, or people you do not think are trustworthy. Talk to industry experts, lawyers, and make sure you meet all requirements stated by the Government. Do not fall into the trap of building properties from unverified agents. Make use of <a href=\"https:\/\/www.propertypro.ng\/property-for-sale\">platforms<\/a> <\/span><span style=\"font-weight: 400;\">that have positive track records.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Do not employ untrained people because you are trying to reduce cost, with experience, we know this only leads to more spending.\u00a0<\/span><\/p>\n<h3><b>Know the Law<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Nigerians have quite a number of rights, and owning a property is one of them. The <a href=\"https:\/\/www.cbn.gov.ng\/out\/2020\/rsd\/efr%20vol%2057%20no%204%20december%202019%20the%20land%20use%20act%20and%20the%20nigerian%20housing%20sector.pdf\">1978 Land Use Act<\/a> gives state governments authority over land within its borders. They can then give it to individuals after a complex and bureaucratic process, then you get a certificate of occupancy to make use of the land whichever way you want.\u00a0<\/span><\/p>\n<h3><b>Look into the future<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Your dream investment property might not be as lucrative as others currently, but could potentially boom a few years down the line, you should go for it. In a few years it could rack you up more millions than it would for others in the present day. For instance, we have seen a gradual increase in purchase of properties in other states of Nigeria like Oyo, Ogun than it was when everyone wanted a piece of Lagos. This also applies to the increase in sales of properties in areas like <a href=\"https:\/\/www.propertypro.ng\/venice\/?utm_source=PropertyPro&amp;utm_medium=top_strip&amp;utm_campaign=venice_top_banner\">Sangotedo<\/a> <\/span><span style=\"font-weight: 400;\">than in Victoria Island.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Also, be at the top of Real Estate news as it could make or mar your investment dreams.\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"It\u2019s a popular fact that real estate is one of the most rewarding investments while the stakes can&hellip;\n","protected":false},"author":31,"featured_media":12785,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"csco_singular_sidebar":"","csco_page_header_type":"","csco_custom_appearance":"","csco_disable_excerpt_posts_layout":false,"csco_page_load_nextpost":"","csco_post_video_location":[],"csco_post_video_location_hash":"","csco_post_video_url":"","csco_post_video_bg_start_time":0,"csco_post_video_bg_end_time":0,"footnotes":""},"categories":[38,467],"tags":[152,82,442],"class_list":{"0":"post-12777","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-articles","8":"category-real-estate-advice","9":"tag-investment","10":"tag-real-estate","11":"tag-real-estate-investment","12":"cs-entry","13":"cs-video-wrap"},"_links":{"self":[{"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/posts\/12777","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/users\/31"}],"replies":[{"embeddable":true,"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/comments?post=12777"}],"version-history":[{"count":11,"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/posts\/12777\/revisions"}],"predecessor-version":[{"id":12807,"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/posts\/12777\/revisions\/12807"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/media\/12785"}],"wp:attachment":[{"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/media?parent=12777"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/categories?post=12777"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/propertypro.ng\/blog\/wp-json\/wp\/v2\/tags?post=12777"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}