Real estate is a profession of buying and selling houses, apartments, lands and properties, generally.
There is the temptation to be lax about property investment as it is not a day job. However, the level of commitment and dedication should be the same.
To be successful in real estate, it is imperative that you have a handful of information and knowledge about the industry. Get information, be diligent in asking questions and finding answers. You’d be surprised at how much many people who want to invest in real estate don’t know, not even the basics! You really don’t want your money to go to waste. There are quite a number of real estate terms you may also need to familiarize yourself with, this may help you in dealing with agents and buyers.
There are some important steps to take before starting a real estate business but for ease of doing work, let’s start with the couple most important ones.
BUSINESS PLAN
Like any new business, a business plan is required. Not just a business plan but a good, functional and feasible business plan design. Before investing in real estate, everything about the business should be documented. Real estate investing is like any other career that cannot be just be started out on a whim. A whole lot of thought needs to go into the planning if you’re considering becoming a long-term real estate investor which invariably translates to a business plan and subsequently, as you learn more about the business, grow your real estate investment portfolio.
SOURCE FOR CAPITAL/FUNDS TO START THE BUSINESS
Real estate business is a capital-intensive business. It requires a huge amount of money and investment to get up and running. If the business plan that you drafted is functional and feasible, then you have an idea of the minimum amount required to start the business depending on the scale (large or small) you wish to start on. If your financial capability does not meet up with the required amount then you can source for funds from alternative means. You can participate in fixed income borrowing- find equity investors that you can pool resources with, enough to start and accelerate growth.
REGISTER THE BUSINESS LEGALLY
Running a licensed real estate business gives you an edge above unlicensed bodies. You can start by legalizing the existence of your business by registering name with the CAC- Corporate Affairs Commission.