How to Start Real Estate in Uganda

  • by Inyene
  • 2 years ago
  • Blog
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Over the years, real estate has proven to be a profitable business venture for people willing to invest in it and get a good profit. It has many advantages for investors, but it could also tie down money when there are no quick sales.

People interested in getting into this field of business usually struggle with knowing just the suitable land or property to invest their money on and reap profits. Some don’t know the various niches available.

Starting a real estate business or investing in real estate in Uganda is easier than one may think, especially if they are armed with ample information to help them.

Real estate niches

Making money has been a motivating factor to enter this industry. But, several things will influence your choice of any of these niches.

For starters, you must consider how much money you have, the volume of demand for that particular niche, and the required knowledge or expertise to perform in that niche.

After considering all these factors, what are the niches available for an individual interested in this industry?

Land development

In this niche, an investor can improve the land he bought to make it easier for selling and accruing profits. Some basic things like water, electricity, and ease of accessing the land can make it valuable enough for buyers to be interested.

The investor shouldn’t sell the whole land if profit is to be realized. The land should be divided up before being sold to several buyers. Those interested can realize a profit, especially in Uganda.

Brokerage

If you are interested in the real estate business in Uganda but you lack the finances to start on your own, you could become a broker between the buyer and seller while earning a good commission in the process. Most brokers start this way.

Management

Managers of properties for the owners have also been a wise move in breaking into the real estate business in Uganda. But work is required to ensure that nothing happens to the property and is protected.

Commercial real estate

If you already have the money to invest in real estate, this is a great move, especially in Uganda, where most investors are making money from building units of flats and renting them out yearly or depending on the agreement with the tenant.

Appraisal services

People interested in appraising and valuing lands or properties in Uganda also make money from this niche. Having an agency here is critical so clients can reach out to you. You also have to spend money on getting the agency approved.

Tips on getting started

Knowing the niches in real estate available to pick from can make a potential investor in this business line confused because they may be qualified to pick more than one of these niches. So, how do you get started?

1 Do adequate research

Whether it is real estate or any other business, you need to do proper research to be informed before going into that business. No one wants to fail in their business.

The demands on a particular niche in this business vary in Uganda. Some people may prefer to rent building units, while others are maybe interested in renting apartments.

Some buyers may want to buy a property, while others may be interested in buying land to develop. Knowing these demands and variations on what clients want will significantly help.

It would help if you focused on the niche, you will quickly get clients and make profits; that is why researching is essential.

2 Draw up a plan

A successful business requires a plan. So, how will you get your clients, the properties you want, make a profit, and expect profit after a particular time?

No matter the niche you are going into, having these plans can significantly help. Building credibility as a brand will make it easier for people to do any real estate business with you, considering the amount usually involved in such transactions.

Getting the best properties or lands in Uganda that people will be interested in and willing to spend their money on is critical because that will help you stay in business, get more clients and realize a good profit.

3 Register the business

For you to work in the appraisal or valuation niche in the real estate business in Uganda, you have to register your business to do.

Though some real estate agents provide this work purely on a freelance basis but having the required expertise and registering the agency can put one at an advantage.

4 Start your business

Having the needed capital to start your business is good, and raising the capital may be easy if you already have savings. But, even with no significant amount of money for capital, you can enter this industry as a broker, save up, and later go into the niche you like.

Getting your first client may be challenging; this is why building a good reputation and credibility, getting referrals, and telling people about your business is an excellent way of starting.

Conclusion

Starting a real estate business in Uganda, even when you are a newbie, is not tricky, incredibly when you have researched and know the niche you want to specialize in. However, you need to get the required capital you need before starting.

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