Steps to successful Real Estate investing
Real estate investment is a process that encompasses the purchase, ownership, and management of property and the country has witnessed remarkable growth in the industry.
Kenya National Bureau of Statistics (KNBS) estimate that the real estate sector grew by 4.8% on average between the first and third quarters of last year. This growth was slightly higher compared to the same period in 2018. This statistical data shows that more and more investors are putting their weight into real estate due to more profitable returns as compared to other asset investments.
Real estate markets have of course been affected by the pandemic however, and real estate companies have been considerate to revise their land prices to have more people owning land in Kenya. To achieve success, a real estate investor should dive in with an investment strategy.
Step One: Conduct your research. The rookie mistake most make is venturing into real estate without a proper understanding of how it works. To avoid frustrations, take time, and educate yourself on the methods and risks as this boosts your chance of succeeding. For example, you can visit The Wealthsmith YouTube channel, read blogs, or subscribe to real estate reports available locally.
Step Two: Step Two: Make a Plan. A goal without a plan is just a wish. To be successful and meet your investment goal, you need a plan that will keep you on track and moving in the right direction. The best place to start will be to track your monthly income and expenses. This will allow you to budget and allocate funds for real estate investment. If you don’t have all the money you need to buy land you can approach your bank to know the available options or look for a real estate company with a flexible payment plan. Real estate companies like The Wealthsmith have installment payment plans that give you some wiggle room and you pay for your property in bits.
Step Three: Find a project to invest in. Once you have a plan and your finances are in order, it is time to scout. This would be the easy part because the real estate company you choose will guide you on the project that fits your budget and investment needs. The three factors to consider in this step is location, property type, and price range.
Step four: Go for a site visit and close the deal. Your real estate agent will plan and organize for viewing of the property that suits your needs. A site visit will give you a chance to explore the area and discover the surrounding social amenities. Once you are happy with the area and agree to terms on your sale agreement, be sure to close the deal as soon as possible. Congratulations! You are now an investor! Ask your real estate agent about value additions provided by their company.
Real estate investing may seem complex at first but with the right company, your journey will be easy and straightforward. Contact us today to unlock the secrets to real estate investing.