After writing a number of articles about Real Estate and why we all should get involved, I decided it was time to change the narrative and talk about the how. After some research and talking to a few individuals at different stages in the game, I have put together a brief piece on the subject of how to break into the real estate industry.
Sources indicate that a couple of years ago, as long as you had a good location, design, price etc, you can make off plan sales easily and build from there. However, things were not as assumed. They soon discovered just how eroded the developer’s reputation is. In order to make sales, people need to have a certain degree of trust in who they’re giving their money to. The average Nigerian cannot afford to lose their money to shady developers. This was and still is one great hurdle.
Another is liquidity. Money doesn’t change hands enough in Nigeria. It’s not moving quick enough for the ordinary Nigerian to have a good amount of cash on hand or to easily liquidate assets. This means that generating enough capital to start is also an issue, you could get numerous investors, but mistrust exists between the developer and investor also.
So, with all the mistrust and little or no liquidity, it must be nearly impossible for one to break into the real estate scene, right? Wrong. It is still very much possible. And with these points below I will show you how.
- Get flush: This is a term that means get money! Lots of it. Though the amount you need will depends on the kind of development you’re looking to build, try and get a bit more than you’re planning to use. When budgeting be sure to make room for over spills.
- Good Team: In order to get to where you want to in life you are going to need people’s help along the way. In real estate you will need an impeccable and hardworking team. A lawyer, construction engineer, architect, aggressive sales person, graphic designer. Professionals with enough experience in the market. People who can do things that you can’t do and will be with you day by day. However, don’t forget that YOU are also a part of your team. Be knowledgeable as well, about the market. And remember they will follow your energy and imitate your level of belief. So, make sure you bring it every single day.
- Strategic Alliances: These people are not necessarily part of your day to day team but you need them to start and maybe even later on. These are people who can get other people on your side. Make others trust you and thus open their wallets to you. With these alliances, go in with your eyes open. Be smart and reward them for their efforts. In this you will need your day to day team to have your back so they can catch things that you might miss.
- Fools rush in: This statement doesn’t just count when it comes to love. Do not rush in. In an effort to keep up with the masses many have masterminded their own downfall. Take your time to think every decision through as much as you can. Devise a strategy and then execute.
- Be Yourself: As individuals we all have what makes us unique. And as long as you bring all that you are to the table. Don’t despise the special things about yourself. Do not try and be someone else. It rarely ever works out for copycats. Just be yourself
Nothing is fair in Nigeria. The system is rigged against the honest individual. But one thing is for certain, if you can be that solution for people or meet a need, no matter who you are or who you don’t know, people will come looking for you. People celebrate excellence and Nigerians we like the best. There are enough people in Nigeria and or Africa for you to create your own market. You don’t have to be selling the most expensive houses or only build for big names. All you need, is a vision and perseverance. All you need is one good idea and the will power to build on it no matter what. Certain things seemed impossible until someone did it. You too can do the impossible.