According to a quote attributed to Andrew Carnegie, America’s first billionaire, “Ninety percent of all millionaires become so through owning real estate.”
More money has been made in real estate than in all industrial investments combined. The wise young man or wage earner of today (should) invests his money in real estate.
Whether this statement still holds true is debatable. But some of the most influential people around are real estate investors.
China’s richest man, Wang Jianlin owns the Dalian Wanda Group. He’s been able to successfully merge real estate with entertainment.
The United States just elected an investor in Donald J. Trump. The President has made his wealth by investing in real estate projects. He also sold the Trump brand across the world on real estate projects.
Nigeria’s Tony Elumelu holds controlling interests in Transcorp a company with over $1billion in real estate assets.
Data from JLL (a real estate consulting firm) shows that over the last decade, $1 invested in real estate would yield up to 20 times more than if this was invested in the US S&P 500.
Real Estate has always been the preserve of an elite few. However, as usual, technology is beginning to disrupt this industry.
Airbnb, allows people to rent out rooms in their home, thereby allowing homeowners to earn money from real estate assets. Airbnb is now the largest temporary accommodation provider in the world and is valued at $30 billion.
The way is funded and the way people invest in real estate has also changed. Afriscaper is a real estate crowdfunding platform. With a minimum of $1,000, potential investors can invest in the institutional quality real estate. Using technology and a transparent platform, Afriscaper pools investments from a large group of people and invests as a single entity in specific real estate projects.
For instance, $1,000 from 10,000 people equates to $10m and this can be used to purchase an institutional quality real estate in any part of the world. Each investor simply needs an internet connection and they can invest in real estate in any part of the world. For purposes of full disclosure, I am an investor in Afriscaper’s parent company. See the Afriscaper website if this interests you.
Going back to Andrew Carnegie’s quote, there are now more opportunities than ever for everyday investors to make money from real estate. What are you waiting for?
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