How to start a real estate business in Nigeria
As an investor who wants to go into the real estate business in Nigeria very fast, but you do not know how to start a real estate business in Nigeria? Then you have a lot to learn from this post.
Due to its large landmass and the rapid effect of civilisation on habitation, and the need for privacy and comfort, lands are being sold and purchased daily. Structures are being erected and sold regularly in Nigeria.
This makes estate management a good a sustainable business in Nigeria.
For one thing, the value of Landed property can never be reduced except for the effects of flooding or fire outbreaks in the area; in effect, Landed properties are always and always sold at rates much higher than their respective initial cost prices, and this value even increases more over time, and this is its major success idea all over the world.
However, just as every business has ethical aspects applicable in some areas and may not be in some other areas, estate management in Nigeria has a due protocol to follow through for the best results to be attained.
Here, we discuss steps on how to start a real estate business in Nigeria.
1. RESEARCH ON THIS FIELD
Every new business on a plan for a start-up requires some survey and research exercise. The first thing you’ll need to do is carry out a little or extensive research depending on your availed time on how this market operates if you do not have much prior knowledge about estate management.
This research opens you up to associated risks as well as profit aspects and factors for the business. Also, you get to understand how you can cope with everyday challenges, so they don’t throw you off course.
Estate management requires significant starting capital. Since property prices aren’t the same, some are cheaper than others. In contrast, others are pricey, and it is good to prepare for whichever comes your way because you cannot be confident of always having the cheap ones buy and location, is the reason for the reason that available properties for purchase may be found at a place entirely different from your expectation.
Some houses in Anambra State, for instance, could cost about 20 million Naira; there are available properties of 50 million and more. Also, there are empty plots of land for 2 million, 5 million, 10 million, and more, depending on location and geography.
3. A BUSINESS PLAN
A business plan is a crucial aspect and tool for every business in Nigeria. A business plan gives your business a focus and orientation. It explains your targets and aims in written form and helps you to make the right business decisions while protecting you from getting side-tracked.
It would help if you had a business plan to succeed with estate management. Get one ready or seek the help of a professional in creating one. You may call on me for a good business plan for your business.
4. GET A LICENSE TO TRADE
A dealership license is necessary. It’s mandatory because you cannot operate without one as long as you’re going commercial.
Seek and apply for a license. When your request is ready, you’re prepared to trade. Support means you’re a legal dealer. Also, since you’d be running the business as a company, you’ll need to register at CAC.
It is no longer as difficult as it used to be; registering your company makes you appear more genuine with your dealers and buyers.
These two go together. However, it is still possible to trade without being registered. Licensing is Mandatory; moreover, getting written is also most beneficial for you.
5. SCOUT AND ACQUIRE PROPERTIES
Now with the necessary pre-arrangements, you’re officially set to commence your business of Estate Management. With the practices mentioned above in place, it is now healthy to begin your investment scheme.
Yes, investment scheme because estate management is purely an investment. This is the time to scout for landed properties within your desired location or locations.
You could also get in touch and register with some active agents to keep you updated on available properties. If you do not have too much capital, perhaps 10 million Naira is your starting capital; you could commence with Land purchases and upgrade later when you source more capital or when you begin to get impressive returns.
Uncompleted or old buildings are also a good place to start with; you could buy and complete or upgrade the structures, then lease, rent, or resell.
Now you have known how to start a real estate business in Nigeria. This business investment is the real big deal here in Nigeria if you play your cards right.
If you need a bankable business plan on the real estate business plan, don’t hesitate to contact us on WhatsApp via https://wa.me/+2349012957163.