Download
1 / 3
30 likes | 40 Views
Real estate is a field where you donu2019t have to invest thousands of bucks to become a business owner. There are many simple ways in which one can not only become part of this lucrative business but can also generate a very good stream of active or passive income. <br><br>
E N D
How to Start a Real Estate Business With No Money Real estate is a business that offers opportunities to everyone. No matter what academic qualification and financial background a person has, he/she can get into this business and make profits. Moreover, it is one of the few businesses in the world that can be started with very little or no capital investment. Money is no doubt important for any business, but a certain type of skillfulness, appropriate mindset, and smart strategies can take a real estate agent a lot further than a hefty volume of investment. Here are some of the ways anyone can start a real estate business successfully. 1. Forming partnerships 2. Lead generation 3. Investment leverage 4. Selling properties of societies 5. Become a middle man 6. Rent to own investment 1. Forming partnerships If you are starting in the real estate industry without a good volume of money, parenting up with an equity partner is the way forward.
Equity partners are those parties who combine their capital and expertise to purchase or develop a real estate project. These partners can be an individual or a company. Among these partners, some people offer as much as 100% investment and want full administration and handling from the other partner. You just have to manage everything and they provide the investment money. In return, investors enjoy returns on investment without any hassle and you will earn profits without investing your own money. 2. Lead generation Lead generation is the backbone of the real estate industry. Lead generation refers to attracting potential clients and then leading those potential clients towards serious interest in a product/service. If you are starting this business without any leads, start with generating leads for real estate sellers. In the real estate industry, there is a very stark difference in the ratio between actual buyers and people who are casually looking at properties. So the more a real estate agent can have a good lead, the more profit they can earn. By becoming a lead facilitator you can earn good profit in form of commissions as well as learn about the market. 3. Investment leverage Investment leverage is purchasing real estate with borrowed money. This money can be used to start a real estate business itself; depending upon the terms and conditions of the contract. Using investment leverage, you can buy an investment property and sell it on profit, simply return the lender its money and enjoy the profit. This can bring very good profits but the risk is also higher. Sometimes results can be opposite to the expectations. That is not only a loss in business but would also make you a debtor. So before going for this option, gain a sound knowledge of the market and only invest in properties that show a lot of potential. 4. Selling properties of societies There are many developers and housing societies that encourage others to market the properties on their plots. For example, societies like Park View City Islamabad, Park View Lahore, Nova city Islamabad plots are marketed and sold by real estate agencies like Deal and Deals (Pvt.) Ltd. Agencies working with these societies are earning very handsome profits. This option requires a formal contract with developers of such projects. It is difficult for beginners to get in contact with big names but you can start with developers in your locality. 5. Become a middle man Everyone at some point in their life is either trying to sell, purchase, or rent a party. One of the easiest ways to start with a real estate business is by becoming a mediator in such parties. For absolute beginners, mediating for renting properties is much easier. Simply find people
who are renting their properties, market it in front of people who are looking to rent a place, and simply get your commission when the deal is finalized. Same way, you can act as a middleman between buyer and seller. Another pro of this option is that the middleman only has to act as a bridge and all official work i.e. lease contract is the responsibility of the concerned parties. 6. Rent-to-own investments This option allows you to lock a promising real estate even if you do not have sufficient funds at the moment. Rent-to-own investment involves a lease agreement that allows the tenant of the property to purchase the property in the future depending upon the conditions on which both parties agreed. The best thing about this option is that a person can have a potential real estate option and hands but still keep exploring better options. And in case one finds a better option or does not want to make a purchase shortly, neither he is obliged to keep the property, nor he has to pay any additional charges besides the rent. Final Words Real estate is a field where you don’t have to invest thousands of bucks to become a business owner. There are many simple ways in which one can not only become part of this lucrative business but can also generate a very good stream of active or passive income.
