8 COMMON REAL ESTATE MYTHS DEBUNKED
Investing in real estate is a huge commitment for any individual. This is why most people try to do as much research as they can before investing. Unfortunately, however, not all the information about real estate you come across is legitimate. There are many false perceptions people hold about the property sector which can provide you with inaccurate information. These misconceptions can interfere with your hunt for the ideal apartment. Here are eight of the most common real estate myths debunked to help you make the right decisions when investing in property.
Myth 1: You Need to be Rich to Invest in Real Estate
One of the biggest real estate myths which dissuade people is the belief that only economically well-off people can afford to buy a property.
People think they’re limited because they have limited resources. They think you have to be rich to invest in real estate. But this is not true. I thought the same thing. When you become educated about the possibilities out there and realize the many creative ways you can partner with others to become investors, you become much more resourceful.
The truth is that you don’t need to have a lot of money and/or you don’t need to have a lot of time. You don’t even have to use any of your own money! You just need the education and creativity to become more resourceful.
Myth 2: Making Money in Real Estate is Quick and Easy
One of the most popular real estate investing myths is that money in real estate comes quickly and effortlessly. By getting more real estate knowledge and learning how to invest in real estate, you will see that there is a high chance of success in the business. As everything else, though, there are some “IFs” and “BUTs”. You need to be patient and determined to succeed. Additionally, you need to invest a big portion of your time and effort to make a profit when financing rental properties.
READ: HOW TO MAKE MONEY IN REAL ESTATE WITHOUT MONEY
Myth 3: You have to do it yourself
This is a big myth in real estate. Not only do you not have to do it by yourself, if you want to truly grow your wealth it’s almost impossible to do it by yourself. If you limit yourself to your capital, credit, and time, you could accomplish quite a bit, but eventually, you will hit a wall. If you partner with others and utilize OPM (Other People’s Money) or OPT (Other People’s Time), there’s no limit to what you can do.
Myth 4: You Shouldn’t Invest In Real Estate When You Are Young
Many people view real estate investments as something that should be undertaken only when they’re older. But investing while you’re young can be a wiser decision. When you are young, you have more working years in front of you to pay off your apartment loan. Also, most financial institutions offer lower home loan rates for young people. This is why investing while you’re young can offer you big gains in the future.
Myth 5: Real Estate Investments are Risky
One of the most common real estate misconceptions is that buying property is too risky. No investment is exclusive from risky. Investments, by their very nature, involve some amount of risks. However, when compared to other forms of investments such as stocks, bonds, and gold, real estate is much less risky. In the comparison between real estate vs stocks, for example, the stock market is marked by greater volatility than the real estate sector. When you invest in real estate, you always have the security of having a place to live, regardless of how the overall market performs. This is something other forms of investment cannot boast of.
READ: BENEFITS OF INVESTING IN REAL ESTATE
Myth 6: You Should Only Buy Property When the Market is Good
Anyone with even a rudimentary understanding of economics knows that the market is never stable. When you wait for the market to pick up, then you could be missing out on valuable investment opportunities. Instead of looking at external trends, focus on your finances. If your income, savings and career trajectory are good, then you should never delay a property investment. Even if the market is bad now, it is certain to pick up soon enough. Buying property when the market is down can prove beneficial since the prices will be lower too. This way, once the market picks up, you will have made a very good profit from your investment.
Myth 7: Brand Names Don’t Matter in Real Estate
When looking for a property, some people pay more importance to the price than to the brand name of the developer. However, this could prove to be a grave mistake in the long run. When you choose a known developer for your property investment, you can see their past work for yourself. This gives you a good barometer to judge the quality of their construction, punctuality in completion and future value of the property. If you invest in a lesser-known developer, there is always a chance you might be shortchanged. Middlechase Property Limited is the number one leading rental property developer in Nigeria who focuses on quality homes with world-class amenities and facilities.
Myth 8: Only Properties in Fully Developed Areas are Worth Investing In
One of the biggest real estate myths people believe in while looking for a property is to only consider areas in central business districts. Narrowing your search to only these areas can prompt you to take a bad investment decision. Properties in the central business district are expensive and prices are already at their peak. This is why you should be looking at areas that are going to witness high future growth. In these areas, property prices are still low but are poised to appreciate highly shortly. You could get higher returns on your investment when you invest in upcoming suburban areas. This is one of the reasons why you should consider investing in Middlechase Properties Limited when looking to buy a property.
Keeping these real estate myths about buying an apartment in mind will help you identify accurate real estate facts and guide you towards making a good investment. If you’re ready to finally buy an apartment of your own, visit Middlechase Property Limited to find the best apartments in Lagos. Our properties are marked by an unbeatable quality of construction available at competitive prices.
To know more about Middlechase Property Limited, click on the link below: Middlechase Property Limited or call 08186577504.
