Real estate experts say that owning a piece of real estate goes beyond a mere investment, more-so when the intension to buy or build is for residential purposes. They add that whereas the action gives a sense of fulfillment, the product itself symbolizes social status and class.
At the consideration stage on whether to build or buy, several things come to mind before one commits his mind and money to it and the experts say that chief among these considerations is location/ accessibility.
For this reason, “nearness to landmarks such as Central Business Districts (CBDs), critical infrastructures like hospitals, malls, etc. and future developments, is a very important consideration to make,” the experts explain.
This is why places like Ikeja, Lekki and Yaba in Lagos State are in high demand; while budding hotspots like Ajah-Epe, Berger-Mowe and Badagry axis are projected to earn investors huge return on investment (ROI) in the coming years.
Lanre Awode, a property market analyst at Alpha Mead Group, notes that “regardless of where your asset is located, the allure of real estate lies in its longevity and ability to hedge against inflation.”
He notes further that choosing quality real estate remains top of the list for potential homebuyers and investors, pointing out that nobody wants an investment that will dig a hole in his pocket in less than five years or one that will collapse at a heavy gust of wind.
He, therefore, advises that, in order to avoid pitfalls, investors should take note of three important quality markers, including Pre-construction Ground-works, Land Title Documents, and Building Finishing.
At the start of any construction, there is need to carry out some actions to ensure building integrity and save buyers the pain of frequent repairs. One of such actions is a Soil Investigation. This test is necessary because soil type varies from place to place. The test helps buyers to determine how suitable for construction the land is and the type of buildings best suited for the soil.
Topography Survey is another pertinent aspect of pre-construction actions that need to be done before any project. The survey helps to identify the size, height, depth and other features of a parcel of land before construction. It will also help buyers to know if the developer built the project following standard procedures.
Assessing the structural design of the property, if it is a completed project, is also vital before commitment is made. This helps the buyer to examine the stability of the building and its ability to withstand both pressure and load over its lifetime.
Land Title Documents
This is a very important consideration to make because it is not hard for someone to buy a piece of real estate; take possession of it and, after sometime, lose it to the government because it does not have good title documents. If the buyer is lucky, he will get paid only a fraction of the purchase amount after an endless web of litigation..
To avoid this, it is vital that a buyer consults a trusted professional to help ascertain if the parcel of land is under governmental acquisition. He should verify that the Certificate of Occupancy (CofO) is authentic and unencumbered. If the property being bought is already built, he should ensure the Deed of Assignment is documented properly.
Intricate Building Finishing
From the floor to the wall, and roof finishes, utilizing the right set of finishes will serve the dual purpose of beautifying the property and also enhancing the buyer’s rental income as an investor. It also increases the asset life. Using substandard products or finishing materials may appear economical at the time, but will prove more expensive in the long run when replacing faulty parts becomes a regular occurrence.