The importance of real estate investment and how to access good investment

Said that the Saudi real estate sector still retains its attractiveness even under the conditions of the global recession and the decline of the real estate markets during the past period, but will return to strong activity soon after the actions taken by Sama such as foreclosure and accelerated loan in addition to the application of white charges on some areas, Which is made up of small real estate companies, in addition to allowing foreign companies to enter the Saudi real estate market.

If you have the intention and desire to enter the field of real estate investment, this is a good idea, but you should know that there are two types of real estate investment, the first is that you buy a real estate and repair or repair it or keep it as it is then resell it again, You buy land and develop land and build a property.

Here are some tips if you are the first type of real estate investor

1. Location

In order to ensure a quick resale of the property, you must choose a property that attracts people who want to live. If you are unsure of the decision to purchase a particular property because of its remote location or lack of services that attract people, it is advisable not to risk buying it.

2 - Do not exaggerate the amendments and reforms

It is advised to avoid overstating the home decoration, or give it a personal touch that may not appeal to the general taste of the majority of buyers, which may reduce the demand of buyers on the property.

3. Speed ​​equals profit

Although it is not advisable to exaggerate house modification, successful real estate investment requires high maintenance and restoration, not just surface touches. The fact that the property is in excellent condition will make it a more attractive option and will make valuing brokers better. But make sure that the adjustments are quick, to minimize the costs you may make while you are the homeowner, such as insurance, taxes, etc.

4. Do not buy at market price

If you intend to sell the property in a short period, you should not buy the property at market price. A successful real estate investment is to buy a property at a low market price so that the investor can rehabilitate it and sell it at a higher price and profit, without having to wait for higher market prices.

5. Evaluate the property

Many houses may look good outside, but after a little bit of scrutiny, there are some drawbacks that will cost the investor a lot of money to fix. To save time and money, check the property well by specialists.

6. Make sure there is an alternative plan

The investor's goal is to buy, renovate, and sell a property to make a profit, but if buyers decline or the market suffers a recession, think of alternative ways to reduce losses, such as renting a home.

But if you are the second type (buying and building land):

1- Knowledge and study of the place

Always prefer to invest in a place that you know well and realize its advantages and disadvantages, so you have the ability to predict the projects that will be set up, this certainly avoids any unwanted surprises may occur if invested in a place you do not know or do not have enough information about it.

2. New urban areas are always better

Investment in modern urban areas is one of the most important elements of successful real estate investment. This is due to several reasons, the most important of which is the low prices because the desire of people to move to modern areas is weak at first, but with urban development and population density, these areas become the most desirable over time. Real estate prices raise double and more.

3 - Consult the owners of expertise

Consult experienced real estate marketers who have reliable information and expertise on the real estate market to provide you with the advice needed for your investment success. They are always familiar with the market and have relationships and contacts.

4. Your investment ability

Real estate investing is a long-term investment. You should study your financial situation well and determine your financial investment capabilities. Of course, it is good to use good mortgage services that are cost effective.

5- Type of real estate portfolio

You may invest in buying an apartment in Lahore and then invest in buying a Shops for sale in Gulberg Lahore or a Office for sale in Gulberg Lahore in Lahore. Diversification of your real estate portfolio makes it more profitable and guaranteed when markets fluctuate.

6 - Periodic maintenance on real estate

Your investment in the field of real estate requires you to maintain it and be through contracting with a maintenance company offering integrated services starting from the work of sewage and electrical work and dye work and other works that maintain the property.

The continued increase in demand in the real estate market has contributed to its growth within the Kingdom and not to speculative activities, in addition to the direction of the Kingdom to diversify its economic activities, this makes me expect that the Kingdom's total investment in the real estate sector will reach about 1.5 trillion riyals during the coming period.