Real Estate Business is a lucrative business of buying, selling, managing or renting real estate property which can either be buildings or land.
In Nigeria today, most people usually find it difficult to purchase or rent lands, buildings or even shops. By helping people to solve this problem you stand a chance of making it big.
Of course, there is no business without risk; Most individuals do not engage in this business because they feel the business is not profitable. For others, getting clients seem to be an uphill task.
Nevertheless, after reading this article, you will have knowledge of the major steps one should take to embark on a successful journey into the business of Real Estate.
Steps On How To Start Real Estate Business In Nigeria
The following are steps you should take to start a successful Real Estate Business in Nigeria:
Choose a niche:
The Real Estate Business can be divided in sub-niches. Depending on some fundamental factors (like capital, location, goal or your personal choice) , you should focus on a particular section of the business so you do not have to a jack of many trades.Below are niches you should consider before starting a real estate business are:
Land flipping: In this case, you will be involved in the buying and reselling of land. These days people engage in this type of business without even knowing. They buy lands at a cheap rate most times is less developed or developing areas and sell them when these areas become developed at a higher price.
Become a Real Estate Agent: Real estate agents helps to connect buyers and sellers of real estate property. Here, you enable sellers sell their property by searching, locating and connecting potential buyers to them and vice versa.
Managing, developing and renting or selling real estate property: In this case, you buy property (like houses or shops), manage and develop the property and then you either sell it or rent it. In situations where you choose to rent the property, depending on your agreement with the tenant(s), you will be paid either monthly or annually. Those that engage in this type of business are called Real Estate Developers.
Other ways you can benefit from Real Estate business in Nigeria are by real estate consultancy and even blogging about real estate.
Do proper research:
There is practically no business that one can venture into without doing a proper research unless he or she wants to make a regrettable mistake. For a diligent-demanding business like a real estate business, you would be needing as many materials as you can get.Ensure to make proper research on how the business works; the risk involved, capital and time needed to grow the business. You should also know the decision makers and laws guiding real estate business in Nigeria.
Search for materials online including this article and offline ones that will help you in a long-run. Reaching out to other colleagues who are successful in this business is not a bad idea in fact you will need their help.
Source for capital:
Real estate business is a capital intensive business. Although the required capital depends on the niche.For instance, Land flipping and real estate development businesses require more capital when compared to real estate consultancy, agency and blogging businesses.
Please, beware of taking loans for this kind of business because of the risks involved in the business. Instead, seeking for equity investors is a better option.
Prepare a business plan:
Write a comprehensive real estate business plan that entails your goals, vision and mission statements, advertising and marketing strategies and so on.If you would love to learn how to write a business plan, click HERE.
Since real estate business is capital intensive, you may likely need investors to invest in your business. A well constructed business plan will give you a upper hand.
Legalize the business:
Engage in all the necessary steps that is required to register your real estate business with the Corporate Affairs Commission and also other associations and agencies as regards real estate business in Nigeria. Examples of such associations are the Association of Estate Agents in Nigeria (AEAN) and the Real Estate Developers Association of Nigeria (REDAN).Get a well-equipped office facility:
Packaging matters a lot in this business. If you do not want people to think you are a fraud, renting an office where clients can frequently locate you is very important. Your office should be well furnished and encouraging. Your success in real estate business in Nigeria is very much dependent on this factor.Some Important Success Guidelines in Running Real Estate Business in Nigeria
Hire professionals:
In cases where you need help in running your business, ensure to employ well experienced people and not quacks that would end up ruinning the business. In this business, you will work with Engineers, Architects, Surveyors etc. So, it is up to you to make sure you always hire professionals to ensure a neat job.Build a unique brand for your business:
Unique branding of your business creates a lasting memory in the minds of your potential clients. Get good designers to create a unique logo and awesome banners for your business. Also create branded shirts and polos so your company can stand out from competitors.Creating a website for your business is also a nice way of giving your business a unique branding. It is also a way of taking your business to the digital market.
Advertisement:
Poor advertisement is the major reason why most people do not succeed in real estate business in Nigeria. After branding, next is to carry out effective and strategic advertising and marketing of your business.Advertise your business on all social media platforms, newspapers, magazines, blogs, radio and television stations etc. Organise promos and ensure that the winners are made known publicly.
Conclusion on the Beginner's Guide on How to Start a Real Estate Business in Nigeria
Avoid scamming people and always watch closely so you too will not be scammed. Treat all problems and matters that may arise during the course of this business legally to avoid getting yourself into trouble.
Lastly, investment wisely and take knowledgeable risk when necessary. Real estate business has its ups and downs but patience and hardwork is all that you need.
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