As the society moves from a communal form of society where lands and other properties are shared among groups of people to a capitalist society where there is a growing trend to own properties in one’s name, so does the value of landed properties increases.
Ever since the yearning for land and landed properties began in human history, the value of land has been on a steady increase. After all, Land is the only property that rarely depreciates in value.
As at today, property investment is still a lucrative investment anywhere in the world. With the right practices and information, so many people have been able to make a fortune from engaging in it. The fact that property investment is lucrative doesn’t necessarily mean the practice is an easy one. To maximize your profit and completely eliminate the probability of incurring a loss, you need to align yourself with the best real estate agent in your locality. For instance, acquiring the service of a real estate agency that has consistently delivered quality.
Rural Homes will not only ensure that you get the best purchase price, it will also ensure that your newly acquired property is put to the best use.
Below, we will highlight 9 of the best property investment opportunities available to Nigerians. As most of these options are self-explanatory, we won’t be dwelling much on them
– Buy and Hold for Rental Income: One of the smartest property investment strategies in an urban area is to acquire a property for rental Income. This option brings back returns in the shortest possible period.
– Buy and Hold for Capital Gains: It is an open secret that land and landed property naturally appreciate. Therefore, acquiring it with the intention of holding onto it for a few years’ will naturally increase its worth.
– Buy, Renovate and Sell: Another avenue to make a surplus profit in a short time frame is by buying old buildings in the cities with the intention to renovate and sell. While this seems like an easy task to accomplish, one needs the input of a reputable real estate firm as they can provide valuable input towards property selection, evaluation, location and other equally important inputs.
– Commercial Property: Buildings like hotels, restaurants, office buildings, industrial buildings, service buildings, shopping mall and so on are classified as commercial properties. While these types of buildings usually take more capital to complete, they usually bring in more money than residential buildings.
An example of a commercial building that will definitely bring a high return on investment for a property investor is Karmo modern Market located in Nigeria’s’ Capital Abuja which is still available for property investors to buy.
– Buy, Add Value and Hold: This is similar to option 3 in the sense that one will have to renovate the purchased building. The only difference here is that one won’t sell immediately as this is a long-term investment. While holding on to the property for the value to increase, one might equally earn passive income by renting out the building for a short period.
– Subdivision: Basically, subdivision means to divide a land into two or more independent land such that each of the division now has its own land document. To benefit from this, you need to acquire a large parcel of land in a developing area.
– Development: This option also requires huge capital to accomplish as it is one of the surest ways to hit jackpot in property investment though with a longer time frame. To begin, you can acquire hectares of land in a developing area with the intention of building an estate on it. As you erect buildings on the land, so does the monetary value of your property and that of the community increases.
– Strata Titling: Under strata titling, the initial owners can decide to sell off (instead of the usual rent collection) parts of a property to interested people. For instance, instead of the usual rent collection from the tenant, the landlord can decide to sell off part of the apartment to the tenant. This concept is a relatively new one to Nigerians but that doesn’t take away its money-making ability.
– Create Dual Occupancy: As the name suggests, dual occupancy is a type of a home with two distinct apartments in the same building. Unlike strata titling, the other apartment is usually given out for rent. Having a dual occupancy apartment earns you passive but regular income. These types of buildings are common in the present day Nigeria.
While the above are 9 of the best property investment options available to Nigerians, you should know that property investment just like every other lucrative investment opportunity in Nigeria has a higher chance of flourishing when one seeks the support of professionals. A good real estate agency will be able to give you advice about the type of property that will yield you the highest possible income in a particular area and time.