In the tumultuous landscape of economic uncertainty, investing wisely becomes paramount. Nigeria, a country known for its resilience and potential, presents a unique opportunity for investors seeking stability and growth even in difficult times. Amidst market fluctuations, currency devaluation and economic instability, real estate stands out as a beacon of reliability. The CEO of Marpet Shelters, Mr Peter Aniah in this article highlight key and compelling reasons why you should consider investing in real estate in Nigeria during this challenging economic moments:

1. Big market Size

Nigeria has an estimated 28 million housing deficit as of 2023, indicating that the country needs at least 28 million housing units to provide adequately for the population for the over 230 Million estimated Nigerians. An estimated sum of  N21 trillion is required to provide housing units to fill the deficit. This means the reals estate sector needs an investment of over N21 trillion to build sufficient housing entire population. This is a huge business opportunity awaiting Investors.

2. Tangible Asset with Inherent Value

Real estate is a tangible asset that holds intrinsic value regardless of economic conditions. Unlike stocks or currencies, land and property are physical assets that provide a sense of security during economic downturns. In Nigeria, where the demand for housing consistently outpaces supply, investing in real estate ensures a valuable asset that can appreciate over time.

3. Hedge Against Inflation

Inflationary pressures are a common concern during difficult economic periods, eroding the value of money. Real estate investments offer a hedge against inflation as property prices tend to rise with increasing costs of living. By owning property, investors can safeguard their wealth and preserve purchasing power, making real estate a reliable inflation hedge in Nigeria’s volatile economic landscape.

4. Stable Rental Income

Rental income from real estate properties provides a steady stream of cash flow, irrespective of economic fluctuations. In Nigeria, the demand for rental properties remains strong, driven by urbanization, population growth, and a burgeoning middle class. Even during tough economic times, people need housing, making rental properties a resilient source of income for investors.

5. Diversification of Investment Portfolio

Diversifying investment portfolios is essential for mitigating risks and maximizing returns. Real estate offers a distinct asset class that behaves differently from stocks, bonds, or commodities. By allocating a portion of their investment portfolio to real estate, investors in Nigeria can spread risk and reduce exposure to volatility in other financial markets.

6. Government Support and Reforms

The Nigerian government has demonstrated a commitment to improving the real estate sector through policy reforms and initiatives aimed at attracting investment. Schemes such as the National Housing Fund (NHF) and the Mortgage Refinance Company (NMRC) promote homeownership and stimulate housing development. Additionally, recent legislative reforms, such as the Land Use Act amendments, aim to streamline land acquisition processes, providing a more conducive environment for real estate investment.

7. Long-Term Capital Appreciation

While short-term market fluctuations may occur, real estate historically appreciates in value over the long term. Nigeria’s growing population, rapid urbanization, and infrastructure development contribute to increasing property values across various regions. Investing in strategically located properties with growth potential can yield significant capital appreciation, offering investors substantial returns on their investment over time.

8. Low Investment Capital:

The good news is that you don’t have to break the banks to invest in real estate. Marpet Shelters Ltd have designed strategies and investments plans for those willing to invest in Nigeria Real Estate Sector. With our carefully designed packages, you can invest as low as N2Million Naira and watch your investment grow. Our team of experience Real Estate consultants will be more than happy to guide you through your investment journey in the real Estate Sector. Visit our Office or call 09021759330 to get started.

Conclusion

In challenging economic moments, the allure of real estate investment in Nigeria shines brightly. With its tangible nature, inflation-hedging capabilities, stable rental income, portfolio diversification benefits, government support, and long-term growth prospects, real estate presents a compelling opportunity for savvy investors. By capitalizing on the resilience and potential of Nigeria’s real estate market, investors can navigate difficult economic conditions while securing their financial future.