As a Nigerian, I to some extent understand the various importance of real estate in our society today. Aside from bringing limitless development and urbanization to our environment, it creates jobs as well as serves as means of investment for those that have the required capital.
Because we’ve been involved in one or more aspects of the real estate business, we’re going to highlight a few ways through which one could make a lot of money in the real estate business.
However, it is important to clearly state that there is a limitless number of ways to earn money as a realtor living in Nigeria. This might be so because Nigeria is a very populated nation and as such, people are always moving, and businesses are springing up as development keeps dropping in.
As a real estate investor, it is important to know that real estate is one business with a countless number of potentials and as such, knowing ways through which these opportunities could be tapped into for profit maximization is the reason why we’re sharing this post with you today.
Today, Let’s see the various ways through which one could make more money as a realtor in Nigeria.
Great Ways to Make Money as a Realtor In Nigeria
In this section, we’re highlighting the various ways through which one could make money as a Realtor in Nigeria. It’ll be of great benefit to you even if you’re just starting, and if you’re already established, feel free to add these tips to what you already do.
1. Land flipping
This is surely a great way to make money from your real estate.
Just in case you’re a newbie realtor and you’d like to know what land flipping means in real estate. It’s the aspect of the real estate business that involves you buying plots of land in high-potential areas of the city, allowing them to fallow for some time till when a good offer comes for them.
There are various forms of land flipping.
In this section of the post, we’re going to talk about land flipping and after that, we’ll talk about the various forms of land flipping that can make you a lot of cash as a realtor.
Buy old Buildings Demolish and sell the land
This technique could fetch up to 3 or 4 times whatever you spent on acquiring such old buildings and if they’re situated on strategic points like busy roads, close to educational facilities like universities, polytechnics, and colleges of education, it’s a good mine for you.
You probably just need to buy these old buildings that are almost caving in, Demolish the structure since they’re useless and home to hoodlums, and then wait for bidders. The more well-situated this plot of land, the more pricy it’ll be. This increases your return on investment.
Buy low-cost lands, wait till the cost goes up, and sell
As usual, most Nigerian Realtors often start with this. They often buy lands in low-selling areas.
The plots acquired are allowed to fallow till there is at least one property development in the area. Once a new construction kicks in, the average price of plots of land within the area increases as well.
2. Rent out your land
Renting out your land is another way to cash out a lot of money as a realtor. Check below, we’re listing the various sectors that would rent your plots at mouth-watering rates. These are the few things you could subject that vacant plot of land to. If this plot is situated deep in the woods, look for farmers or farm it yourself. Rear vegetables or get people to do it for you!
Rent that Plot of land out to event planners or make it an event center (a temporary one). This increases the overall worth of the plot and exposes the plot to potential buyers too.
Do you know that most times, farmers would need a plot to plant their seeds? This is very common, especially these times when clashes between herders and farmers have become the regular news. Renting out your plot of land to farmers helps you earn a lot of Money.
It’s possible to convert your plots into a plantain plantation or oil palm plantation and earn some huge income when they start reproducing. Some landowners convert their empty lands to ponds and rear catfish and other animals or birds and earn 3 times within the year.
Temporary residential homes
I’m from the streets, and in most cases, I’ve seen where people who couldn’t afford normal apartments would settle for makeshift m apartments. Now, this is where your plot of land comes in.
Just build wooden low-cost shelters and put them up for rent. People would take these up with a word of thanks.
Allowing Mechanic workshops to erect their temporary shops on a piece of land you own at a fair price is one way to make extra cash. It also exposes the land to potential buyers or investors who might want to buy it for whatever use they have for it.
Renting to a local church brings you closer to a buyer, especially when the church finds the site good and large enough to contain the number of worshipers they desire.
Now that we’ve listed the various ways to make money as a realtor by renting our land to churches, mechanics, farms, etc, let us now see another great way to make money as a real estate investor in Nigeria
Build for rent.
In the previous section, we mentioned various ways to rent out our empty lands and make money off them. This time, we’re talking about building a house and renting it out to occupants.
It is advisable however that you ensure whatever you build lives up to standard and is nice enough for people to Deem it suitable for their accommodation needs.
The sweet thing about building a house is your income is steady except for the period within which you’re searching for a suitable renter for your property or flats.
Do you know you also get to save some money since you also live in a flat within the building?
If you have a vacant apartment, why not convert it to a short let or service apartment? You furnish and ensure modern facilities are installed and list them on popular platforms. You get paid whenever renters come in for it and guess what…
They don’t need to stay in it for the entire year.
3. Hostels and Lodges
Hostels are built around Universities, polytechnics, and colleges of education and the income for you as a real estate investor is never ending as long as you ensure security is tight, water and electricity supply must be on regular and strict rules must be enforced to ensure students don’t mess up your property.
4. Hotels And Guest Houses
Hotels are the other kind of real estate that brings regular income, especially during weekends. Do you know that almost all hotels around your city are booked during the weekends? Now this means if you invest your money building hotels within strategic points of the cities, you are in for a long-time money shower.
One thing you must ensure is security and power supply (most hoteliers rely on Private and portable power generating sets to power their hotels and in most cases, they make good deals with power distribution companies and get hooked on line 33 for uninterrupted power supply)
Guest houses: if you’re a city guy, you should know the term “short-time hotels” or guest houses. It’s a kind of hospitality place where you could rent an apartment just for a few hours’ rest!
Now, these kinds of facilities are built on plots of land for profit-making purposes. Truth is, if you’ve sited yours within the hot and strategic spot in town, your money won’t know any stops.
5. Event Centers
These days, even the smallest events take place in no other place than an event center. It’s a cool concept because even know you’re yet to develop your vacant land or have plans for it, you could make it an event place. Just buy some canopies (best you have your private AC tent designed for this), chairs, and a professional decorating team and you’re ready to go.
All you have to do next is put the word out there that you’ve got a nice open field for any events and people would come rent this place for their events. They pay to use the space and every time they do this, your plot gets itself in the eyes of potential buyers.
6. Property Marketing
I was trained with money made from real estate. Yes, my mum does buy and market properties. These could be her newly built properties, those owned by clients, etc and at the end of the day, it’s all money coming from different sources and we feed fine and cover our daily, weekly, and monthly expenses without a hassle.
7. Listing Platforms (Blogging)
If you’re living in a megacity like Lagos, Abuja, or Portharcourt, one way to make good money in real estate is to build for yourself a real estate property listing platform. This could be something like jiji.ng or my other small project Fortune Hill Homes where you collate properties on sale or rent and list them at a fixed fee.
The sweet thing about this kind of real estate business is, you make money daily and if you’re within the city, interested renters or buyers also pay you to inspect the property and when they eventually buy or rent, you get around 5 – 10% commission too.
8. Property Management
Property management is usually between you and the property owners. Say Mr. A lives abroad but has properties in Nigeria and since you’re in Nigeria, a reputable individual, you’re contracted to manage such properties.
This is a great way to make money as a realtor cos yours is to rent to tenants, they pay rent and you bank it for the owner, and based on your contract agreement, you could earn a commission for every tenant that rents or gets paid monthly for being the property manager.
Conclusion: How to make extra income as a realtor in Nigeria.
The list of possible ways to earn extra as a realtor is not exhaustible. This is because real estate is one business that has several money-making opportunities within it. Well, we’ve just listed a few ones you could relate to easily and I do hope you found them very useful.
Remember, we skipped 2 other ways! These are the building of malls, plazas, clubs, etc and rest assured, these are very lucrative businesses you could embark on as a real estate investor and yes, the return on investment is very huge!