by A. Doherty
I believe this is a good time for you to strategise on how to make it in real estate. It is a fact that real estate is one of the safest and surest ways to invest and make money. This year has come with its varied opportunities in real estate investment but you need to understand the basics. Let me be your guide.
The first and most basic principle is to have a specific and attainable goal. Someone said that “a goal is nothing more than a dream without a time limit.” You need to decide now what you seek to accomplish in this area of your life. Here is a hypothetical goal: “I will invest in real estate by constructing four three bedroom flats with all rooms en suite, on my land situated at XYZ area within the next 12 months. The building should generate at least NXYZ annually, which will form part of my retirement plan.” This goal is very clear and attainable.
Once you have done this, you can proceed to lay out plans and set milestones that will enable you to measure accurately what you have achieved per time. You can establish time lines on what should be done and when. Important mile stones could include clearing, foundation, blocks and so on. Secondly, you need a team. You need certain people to succeed in this area. You need professionals such as accountants, estate surveyors and valuers, as well as legal practitioners among others. An expert team will help you navigate though the hurdles of purchasing or leasing or building a property. Of course, this is not going to be free but the savings in real terms are significant. You may also consider forming a formal or informal partnership with like-minded people on real estate investment as a form of strategic leverage.
If you choose to have partners, you should ensure that they are people of integrity who have shared values and are totally committed to the success of the venture. Your partners and team members must agree on how you’ll operate the partnership as well as an accountability structure. Your team and partners will provide a ready pool of expertise and resources that should help you achieve your goals.
Thirdly, improve your knowledge .You need to know more about real estate investment and you can achieve this through attending seminars, reading related articles, and reading books on the subject. Your knowledge will enhance the quality of your decision making ability. It has been said that ‘to earn more, you need to learn more.’ If you desire to make more money in this area you have to learn new ideas, information and skills that you can apply. You can dramatically increase the odds in your favour if you work from a position of knowledge.
Fourthly, get your financial house in order. For several people, investing in real estate impacts significantly on their finances. Thus, you need to examine your financial situation and get rid of stumbling blocks to your success in real estate. You may need to deal with certain attitudes and tendencies that are negative. Remember, when you invest in real estate, you are investing in a future that will reward you bountifully. Unfortunately some miss this opportunity.
During one of my discussions with a real estate millionaire, he shared with me the true story of two brothers. One was a successful businessman controlling millions several years ago and the other was a struggling businessman with knowledge of real estate investment. The one doing well in business was given to wasteful habits, such as, staying in expensive hotels while on holidays in Britain without buying any property there even though he could afford to pay outright. In Nigeria, he bought few properties and wasted a lot of money on high life. Whilst doing all this, the other brother was investing in real estate. As at today, the tide has turned. The real estate investor is now several millions richer than his brother. The sacrifice of several years is now paying huge dividends.
Finally, focus on a specific area or a particular line of real estate investment. This year, determine the location that suits your goal and begin to focus on that area until you get what you want. Learn from the banks and eateries whose success depends a lot on location. They start by setting a goal of where they need to expand and how much they need to expand within a year. Once the strategic locations have been agreed, they focus on that area or neighbourhood until they achieve their result. Don’t just invest, rather invest strategically. Determine what you want and go for it. Fortune favours the bold.
