Real Estate is a profitable business worldwide. The only investment that comes close in profitability is stocks and shares investing. But unlike stocks, it’s a far more stable. Abuja, Nigeria is far more profitable than elsewhere when it comes to investing in Real Estate and you stand a chance of making excellent profit if you invest right.
Reasons why you should give it serious thought
1. Property values appreciate fast – Property prices in Abuja Nigeria are constantly rising. For example a land bought in Gwarinpa for 3.5 million naira about four years ago, is now worth over 12 million Naira. Another typical example is a land bought at Kuje for 750 thousand Naira in 2004, and now valued at over 5 million Naira. Also is a 4 bedroom duplex bought in Maitama in 2003 for 35 million Naira is now valued at 90 Million Naira. It not just in Abuja that properties appreciate fast, other states are appreciating as well, as long as you invest in the right place. You don’t have to be wealthy to invest in Real Estate, 2 plots of land in Kaduna state I once bought for just 100 Thousand Naira each in 2001 is now valued at 1 Million Naira each.
2. House rents are constantly increasing prices.
3. Abuja is the capital city, – In the capital city, more and more business are sprouting up. More businesses means better standard of living, which means more people ready to buy property and rent properties.
4. Abuja Nigeria is constantly expanding; Lagos recently attained the mega city status. This means that property you’re buying that appear to be in the suburb, may soon become a property in a commercial neighbourhood. That means more money for you because properties in that area will appreciate in value faster than you imagined.
5. Ownership: In African societies, you’re not considered to have attained anything concrete unless you at least own a house.
6. Money loses value over time– Even If you decide to put your money in a high interest account, at the end of the day, the net worth will be reduced by inflation. However, if you invest it in real estate, your investment will take care of itself if you invest right, the rent from your investment will serve as your interest, and money you invested will continue growing.
Before you do invest in Real Estate
Long gone are the days when investing in property only has to do with building an empire to be inherited by our children and grandchildren. Property investments now goes beyond that, it involves various techniques and studies. Before parting with money, the first thing to think of is what type of property am I buying? Should I buy a plot or more? Should I buy a developed property or an uncompleted building? Beside those questions lie other questions like how do I choose my location? Is the area sure to develop in another so so years? If development of the location is going to take say 10 years, you should ask yourself if you will be prepared to wait that long?
Do lots of research (area and value of properties) before you part with your money, make sure you invest right and in the right area as not all areas increase fast, also some agents even friends and family members have been known to double or even triple the price of properties they help to acquire, land worth 500 thousand naira could be sold to you for 1.5 million naira if not careful.
Use the service of a lawyer to check all papers are in order and also to know the person/agent selling has the right to sell, so as to avoid being scammed, it might cost a little more but could save a lot of tears and stress in the long run.
If you purchase say a land with no little or no documentation, try and get all the papers in order, i.e land survey, deed of assignment and C of O (if possible) this will make it impossible for the road side fraudulent agent to resell your land (if you bought it from them).
Source: K.A. Primewater