According to Maslow’s hierarchy of needs, shelter is one of man’s basic necessities, ranking second only to air, food, water, and sleep. This emphasizes the significance of housing to people’s well-being. Everyone is involved in Real Estate in some way or another. You’re either paying for it or getting money from it.
Real estate is an excellent investment for a variety of reasons. You can either enjoy high rates of return or use real estate to develop your fortune. The following are the top reasons why real estate is a good investment.
1. Provides better returns than the stock market with no volatility.
Historically in real estate, your rate of return is dependent on the length of time you hold on to your property. While the Real Estate Market in other parts of the world fluctuates, the market in Nigeria is always on the rise. You get more control of your investment because your property is a tangible asset that you can leverage to capitalize on numerous revenue streams, while enjoying capital appreciation.
2. Create Generational Wealth
Cornelius Vanderbilt is often quoted as saying, “Any fool can make a fortune; it takes a man of brains to hold onto it. Most people who have built wealth – and investment advisors – will recommend that real estate should be a large portion of your investment mix. For a lot of wealthy folks, real estate may make up the largest portion of their investments.
While Real estate is not the only asset capable of creating generational wealth that grows over time, it is often found in the portfolios of Multimillionaires and Billionaires because it consistently appreciates over time from inflation and its intrinsic value. Investing in Real Estate can help you generate wealth for not only yourself but also future generations.
3. An investment in real estate can also diversify your portfolio.
If you’ve ever discussed investing with a financial advisor, you’re well aware of the need of diversity. When you diversify your portfolio, the risk is spread out. Real estate will always be a safe tangible asset to diversify your portfolio’s risk. Many people have gained fortune purely through property investments.
Real estate is not only a sound financial investment, but it can also bring years of enjoyment, happiness, and valuable memories that will last a lifetime.
4. Values will always increase over time.
History continues to prove that the longer you hold onto your real estate, the more money you will make. Despite the fact that Nigeria has experienced several recessions, forcing many individuals to sell their homes at lower prices, those that stay on to their investments during these difficult times will see values return to normal and appreciate.
Although there are down years, real estate consistently appreciates over time, and cash-flowing real estate, such as rental homes, generates consistent revenue. In other industries and sectors, trends come and go, but properties remains stable.
5. Has a high tangible asset value.
There will always be value in your land and house. Other investments, such as stocks that can go to zero or a new car that depreciates in value over time, might leave you with little to no actual asset worth. This is not the case, however, with properties.
Most investments require that you have all of the cash up front. Think about buying stocks, bonds, and so on. If you want to be able to purchase a ₦1,000,000 investment, you will likely need ₦1,000,000.
That is not necessarily the case with real estate. With a minimum of ₦1,000,000 down payment you can own a plot of land on Cherryview Park and Gardens Estate, expected to be worth at least ₦30,000,000 in the next 5 years.
Why not take the first step toward creating Generational Wealth today by sending us a message to start the process of obtaining lands.