Real Estate Activities And Types Of Real Estate Investment.
The activities that real estate is concerned with ranges from the development and construction of townships, housing and commercial properties to the maintenance of the existing ones. High Net-worth Individuals, financial institutions and other individuals looking at viable alternatives to invest their money in among stocks, bullion, property and other avenues have been opting for real estate. The investors are assured of income and capital growth of the money invested in real estate hence stable and predictable income returns. A potential investor can choose between residential, commercial office spaces or retail sectors investments. Real estate investment is risky because one has to put very high investments which suffers from lack of liquidity and have uncertain maturity period. To succeed in real estate you have to create a beneficial marketing plan and then practice a disciplined effort to the marketing plan on an even basis.
The major participant in real estate investments are the high net worth individual and financial institutions who invest in both commercial and residential properties. Foreign direct investments (FDIs) form a small portion of the total investments in real estate due to the various restrictions such as a minimum lock in period of three years, a minimum size of property to be developed and conditional exit. The construction sector of real estate is one the highest employment sector of the economy since it employs a large work force including a considerable number of unskilled labour and directly or indirectly affects the performance of many other sectors positively.
Marketing your business and rendering the necessary information such as contact information for the customers who may be interested in any of your property and in the best way will help you attract potential customers which is good for your business growth. To ensure that the information about your investment gets to your potential clients you will need to use platforms such as classified ads programs, ads in the “Freebie” papers, putting bandit signs or road signs, flyers and bulletin board posting, business cards, clothing, imprinted and promotional items such as pens and key chains for advertisement purposes. This forms of advertisements helps potential clients to acknowledge your business and provides them with contact information in case they want to purchase a property from you.
In order for an investor to get maximum real estate returns from a bought property they have to make sure that it is in a good condition, in a good location and free from any legal requirements. Many investors invest in new homes because they do not require any maintenance or repairs which may incur extra expenditure costs and they are also build in a modern design.