ADVERTISEMENT
The Sun Nigeria
  • Home
  • National
  • Columns
    • Broken Tongues
    • Capital Matters
    • Diabetes Corner
    • Duro Onabule
    • Femi Adesina
    • Frank Talk
    • Funke Egbemode
    • Insights
    • Kalu Leadership Series
    • Kunle Solaja
    • Offside Musings
    • PressClips
    • Public Sphere
    • Ralph Egbu
    • Shola Oshunkeye
    • Sideview
    • The Flipside – Eric Osagie
    • Tola Adeniyi
  • Business
  • Politics
  • Entertainment
  • The Sun TV
  • Sporting Sun
No Result
View All Result
  • Home
  • National
  • Columns
    • Broken Tongues
    • Capital Matters
    • Diabetes Corner
    • Duro Onabule
    • Femi Adesina
    • Frank Talk
    • Funke Egbemode
    • Insights
    • Kalu Leadership Series
    • Kunle Solaja
    • Offside Musings
    • PressClips
    • Public Sphere
    • Ralph Egbu
    • Shola Oshunkeye
    • Sideview
    • The Flipside – Eric Osagie
    • Tola Adeniyi
  • Business
  • Politics
  • Entertainment
  • The Sun TV
  • Sporting Sun
No Result
View All Result
The Sun Nigeria
No Result
View All Result
ADVERTISEMENT
Ley Your Dreams Come Alive – With FCMB Loans
Home Business

Real estate investment in times of recession

9th November 2016
in Business
0
Real estate investment in times  of recession
0
SHARES
97
VIEWS
Share on FacebookShare on Twitter

Story by Maduka Nweke [email protected] 08034207864

Recession is a period of temporary economic decline during which trade and industrial activities are reduced, generally identified by a fall in Gross Domestic Product (GDP) in two or more successive quarters. Although Nigeria’s recession has gone across two quarters, there is still need for one to keep investing as investment is the only way out of recession. These include but not limited to stocks, manufacturing and other real sectors as investments in property could be a way out of acute recession. This kind of investment would be productive as it is the type that replaces the lack within a short period.

The question is, should we exhaust what we have because there is hardly enough to meet basic needs let alone saving for investment? The answer is no, because when you finish what you have today without putting something down for tomorrow, then you will be eating yourself out of existence. In order, therefore, not to eat yourself out of existence, there are ways proffered by experts for you to invest successfully when you don’t have a lot of money.

Are you a Man 40 yrs and above? Do not miss the Vital Information, it goes off in 2 days! CLICH HERE to READ .

According to Obiora Ekwemozor, a developer based in the South-eastern part of Nigeria, if you have spent some time thinking about your environment, you would see the all imposing profits that can come from real estate investments. Experts in various generations, climes and disciplines have shown how investors in various scenarios made their fortunes in the housing industry even under recessions. It is an attractive investment market but difficult to enter without a lot of initial capital. Even people who have invested and made profits in the past can struggle to scrape up enough funds to invest again.

But the big question is, are there ways to invest successfully in real estate without a lot of money when you are in recession? For Ekwemozor, of course, there are but it takes some expertise and solid strategy to pull it off. “Even people who are not that well off can make a fortune in real estate if they select the right avenues and use their money wisely,” he stated.

Some experts have proffered a few methods seen to have worked during recession for investors in the past, including;

Breaking!!! Earn up to N2 - N3 million monthly GUARANTEED (all paid in US Dollars). No training or refereal required. Do business with top USA companies like Amazon, Tesla, Facebook, IBM, Netflix, Zoom, etc. Learn more .

Wholesaling houses

A popular option for affordable investing is buying homes at wholesale prices. By definition, a wholesaler is a person who gets paid for finding great deals. In real estate, that means you will be purchasing homes that have dipped below market value. Sometimes they will be affordable because there’s damage to the property; other times, it might be because the seller wants a quick turnaround. Either option is good news for poor people.

Premature Ejaculation & "Small Joystick" Resolved in 7Days... Click Here For Details .

Discussing investment under recession, Mr. David Obodoeze, an interior decorator, said the benefit is that comparatively little capital is needed for the down payment. “You do not have to waste money on a real estate agent and sometimes you don’t need any money down whatsoever. Certain homes may be purchased even if you don’t have a great credit score,” he said.

According to him, this is not an entirely free option, however. “You will have to pay for such things as operating the investment, minor repairs, marketing and anything else that comes up in the process. The good news is, you can usually turn a handsome profit after spending only a few thousands on the entire process.

“Through these agencies, you can get a great deal on real estate without reaching for a single dollar from your pocket. Again, it’s essential to recognise that you will likely have to spend a few thousands on closing costs and a few other items, but once you have turned a profit, you will pay back the mortgage and any other expenses and have some left over,” he noted.

Lease alternatives

When you have no credit, bad credit or no funds, a lease option offers a great bailout. Through this route, you can control property without taking legal ownership.

100% Natural Herbs to Finally End Premature Ejaculation, Weak Erection and Small Manhood. >>>Click Here for Details<<< .

Instead, you will sign a lease with the option to buy at a specific price in the future. The option period will last for a set number of months and the owners are not allowed to sell the home until that time period is up.

During that period, the investor can do what he or she likes with the property, including making money. According to Jason Hanson, an experienced investor and contributor to Bigger Pockets, “the beauty of the lease option is, there are three different ways to make money. You can make money from the ‘option money’ where a tenant/buyer pays you when they move into the place. You can make money from the cash flow on the rent amount and, of course, the big payday is when you sell the house to the tenant/buyer,” he said.

Typically, investors will turn the property into a rental. They will handle the landlord and property management aspects. With the profits, investors will pay the leasing fee to the owner and pocket the rest. In just a few months, you could have enough capital to get a loan and purchase the property.

Partnership investment 

This is a situation where two or more people combine to do real estate business. For instance, if you bring a fair amount of knowledge and experience to the real estate game, but little or no capital, a partnership might be in your best interests. Many investors want to make their fortune from real estate investments but they don’t have the experience or the knowledge necessary to be successful. This provides them with veritable opportunity to get into business proper. This is the perfect opening for you to swoop in and offer the pieces they lack. You can split the profits accordingly. Use your networking skills to find those who could benefit from your experience.

Richard Myers, real estate contributor for NuWire Investor, recommends choosing a partner who is most for the opportunity at hand. Myers says, “the happiest equity partner is one whose needs are met by the investment. This is particularly if the investment is a large, fully occupied shopping centre that would be suitable for an institutional investor. However, smaller properties that will seem like ‘small fish’ to institutional investors might be very interesting to individual investors.”

Private subscription 

You can also try to raise the capital for a real estate investment through crowd funding, networking or friends and family. Often, people who seek private funding will opt for “hard money,” which involves getting a loan from a wealthy individual rather than from a bank. The loans are very short term, sometimes as short as six months and rarely longer than two years.

Taking a loan for such a short amount of time may seem daunting but if you are planning to fix and flip or buy and refinance a property, it is a perfect fit. Ideally, you will turn a profit in just a few months and pay the money back in full, with plenty profits.

However, it is important to note that you should not take a “hard money” loan unless you are absolutely certain you can make a profit on the property. If you are talking about hundreds of thousands of dollars and the property turns out to be a flop, you will lose big time instead of gain.

Combination of two or more options

This method is most applicable when the operator is not capable of meeting the financial demands of the business through one of the various methods above. You can combine any of the above options until you have found the perfect investment strategy for your real estate career. Any of them are great for launching a career that could make you successful in your investment.

sunnews

sunnews

Related Posts

FG bars textiles importers from forex window
Business

Communication, stronger regulatory oversight as panacea to wonder banking menace

23rd May 2022
NGX partners MTNN to strenghten retail participation in capital market
Business

‘MPC meeting outcome to determine trading sentiments on NGX this week’

23rd May 2022
We ‘ll surely complete our acquisition of MPNU, Seplat assures shareholders
Business

We ‘ll surely complete our acquisition of MPNU, Seplat assures shareholders

23rd May 2022
Next Post
The Central Bank of Nigeria

Freeze illegal IMTOs’ accounts funding black market, CBN orders banks

Government removes fuel subsidies

FG reaches ‘settlement’ with IOCs on $5bn cash call arrears

Trump leads Clinton in electoral votes, race tight in key swing states

Trump leads Clinton in electoral votes, race tight in key swing states

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

ADVERTISEMENT

Highlights

Oborodudu dedicates 11th African title to Nigeria, family

Zenith Bank Swimming Gala suspended due to heavy rains

Zenith Bank Grandslam Tennis ignites Ikoyi Club

Doping control, medical services at Okpekpe 10km road race on Saturday

Bayelsa Queens Crowned 2022 NWFL Premiership Champions

Communication, stronger regulatory oversight as panacea to wonder banking menace

Trending

Group urges Ndokwa Youths to prepare for 2023
National

Group tasks Benue PDP Delegates to make the right choice 

23rd May 2022
0

Abel Leonard, Lafia A group under the auspices of Concern Benue Professionals in Nasarawa (CBPN) has urged...

Osimhen faces Ronaldo test

Napoli raises Osimhen’s worth to N48bn

23rd May 2022
I’m not under pressure to become Super Eagles’ no 1 –Okoye

Okoye pulls out of Super Eagles friendlies

23rd May 2022
Oborodudu sets sights on Commonwealth Games

Oborodudu dedicates 11th African title to Nigeria, family

23rd May 2022

Zenith Bank Swimming Gala suspended due to heavy rains

23rd May 2022

Follow us on social media:

Latest News

  • Group tasks Benue PDP Delegates to make the right choice 
  • Napoli raises Osimhen’s worth to N48bn
  • Okoye pulls out of Super Eagles friendlies
  • Oborodudu dedicates 11th African title to Nigeria, family
  • Zenith Bank Swimming Gala suspended due to heavy rains
  • Zenith Bank Grandslam Tennis ignites Ikoyi Club
  • Doping control, medical services at Okpekpe 10km road race on Saturday
  • Bayelsa Queens Crowned 2022 NWFL Premiership Champions
  • Communication, stronger regulatory oversight as panacea to wonder banking menace
  • ‘MPC meeting outcome to determine trading sentiments on NGX this week’
  • We ‘ll surely complete our acquisition of MPNU, Seplat assures shareholders
  • Berger Paints’ shareholders ratify proposed 40k dividend
  • NLC hails former Brazilian President Lula’s vindication
  • Labour warns parties against fielding candidates who oppose LG autonomy
  • U.S. Consulate promotes entrepreneurship in Niger Delta
  • NUFBTE hails Ngige’s withdrawal from presidential race
  • Q1: Access, 10 other banks raise customer deposits to N41.18trn
  • CIBN improving capacity, begins construction of Bankers’ House
  • NMDPRA to unveil regulations on gas pricing, pipeline tariff, others
  • Customs seals warehouse with banned foreign rice

Categories

  • Abuja Metro
  • Anambra Watch
  • Arts
  • Broken Tongues
  • Business
  • Business Week
  • Cartoons
  • Citizen Joe
  • Columns
  • Cover
  • Culture
  • Duro Onabule
  • Editorial
  • Education Review
  • Effect
  • Elections
  • Entertainment
  • Events
  • Features
  • Femi Adesina
  • Food & Drinks
  • Frank Talk
  • Funke Egbemode
  • Gallery
  • Global Square by Kenneth Okonkwo
  • Health
  • Insights
  • Kalu Leadership Series
  • Kunle Solaja
  • Kunle Solaja
  • Letters
  • Lifeline
  • Lifestyle
  • Literary Review
  • Marketing Matters
  • Muiz Banire
  • National
  • News
  • Offside Musings
  • Opinion
  • oriental news
  • Politics
  • Press Release
  • PressClips
  • Public Sphere
  • Ralph Egbu
  • Shola Oshunkeye
  • Sideview
  • South-west Magazine
  • Sponsored Post
  • Sporting Sun
  • Sports
  • Sun Girl
  • Tea Time
  • The Flipside – Eric Osagie
  • The Sun Awards Live
  • The Sun TV
  • Thoughts & Talks
  • Time Out
  • Today's cover
  • Tola Adeniyi
  • Travel
  • Travel & Tourism
  • Trending
  • TSWeekend
  • Turf Game
  • Uncategorized
  • Updates
  • Views from Abroad
  • Voices
  • World
  • World News
  • Home
  • About Us
  • Paper Ad Rate
  • Online Ad Rate
  • The Team
  • Contact Us
  • Privacy Policy

© 2019 The Sun Nigeria - Managed by Netsera.

No Result
View All Result
  • Home
  • National
  • Columns
    • Broken Tongues
    • Capital Matters
    • Diabetes Corner
    • Duro Onabule
    • Femi Adesina
    • Frank Talk
    • Funke Egbemode
    • Insights
    • Kalu Leadership Series
    • Kunle Solaja
    • Offside Musings
    • PressClips
    • Public Sphere
    • Ralph Egbu
    • Shola Oshunkeye
    • Sideview
    • The Flipside – Eric Osagie
    • Tola Adeniyi
  • Business
  • Politics
  • Entertainment
  • The Sun TV
  • Sporting Sun

© 2019 The Sun Nigeria - Managed by Netsera.

Posting....