How To Get Rich In Real Estate?
Many people think of real estate as a new growing industry with a loss of potential in the upcoming future. As per statistical data, most millionaires are, made from the real estate business. It is alright to argue with this fact as you can be a millionaire by doing trading, stock investment, multi-level marketing, and many more things. Let us know about “How To Get Rich In Real Estate?”
If you look, around, you can understand the potential of having land because in “the growing world land values much more than anything. As per the definition in commerce books, the land is the only asset that is non-depreciable.
Billionaire’s Relationship With Real Estate:
Here is the list of top 10 billionaires with real estate as an asset:
- Sam Zell has a net worth of $4.8 billion
- Stephen Ross has a net worth of $7.6 billion
- Sun Hongbin has a net worth of $9.2 billion
- Donald Bren has a net worth of $17 billion
- David & Simon Reuben’s net worth of $16-18 billion
They all achieve To Get Rich In Real Estate?.
Ways To Get Rich With Real Estate:
There are many ways in which you can earn money with real estate. The ways used by many people are by working as a builder and real estate dealer and by simply lodging their money in a REIT fund which stands for “real estate investment trust.”
Builder And Real Estate Relationship:
Builders are the people with a large amount of money and are ready to invest their money on plots to build 4-5 floor buildings as per average builder statistics. They are like “the creator” of huge projects which are sold by dealers. If you think they earn a large amount of money than that, then you should read the section about dealers.
Dealers And Real Estate Relationship:
Dealers are the main person in this field as they are the only person who used to crack the deal and earn some “margin of profit. The characteristics of a dealer, are mentioned below:
- Skills
- Experience
- Mindset
- Network
Skills:
To crack any “deal” three common things are essential. Every deal should have good communication skills to initiate the conversation with customers and be able to close the deal. The network with the client and the dealer should be good because in long run it will be the most essential thing to have. The personality of the dealer matter more than anything as while cracking the deal good impression increases the change of deal with costumes.
Experience:
In this, field experience is the most important thing but not the only thing. During an interview, your employer checks for your personality rather than experience because sometimes “personality” beats experience.
Mindset:
This is the only thing that makes difference between a dealer with fewer deals and a deal with a large number of deals. If the mindset of a person is good then it will help him/her in the long run as mentioned in the book “Think and grow rich.” In the future with a great mindset, you can able to crack bigger deals and earn a large sum of money.
Network:
If you are looking for a big game in the future then you should focus on networking as when you grow in this field then you realize that having a good network is the best thing. Networking explains the concept that you are the sum of 5 people with whom you spent your time.
REIT (Real Estate Investment Trust):
It is just like a mutual fund. As in mutual funds, there are a bunch of companies listed on the stock exchange here in REIT some high-yielding properties are listed, and all your money is distributed here in the same percentage from high to low.
The annual return of REIT is around 9.8%, but in real life, with a good mindset, you can get more money than relying on just a few percentages. If you have a better understanding of a market and how people lakhs of money in mother which usually beat the average engineer’s package.
REIT, is for those who don’t want to input their time in it to learn all about the market and factors. Then it will be the best option for you to give your money to brokers and they try to get the 9.8% return for you annually.
FAQ:
- Is it worth to spend a large sum of money on real estate?
If you believe that, you can earn larger margins by investing your money, then you should go for it.
- What is the annual return of REIT?
Annually REIT produces a return of 9.8%
- How much money does the dealer earn?
A good dealer can earn money almost around the average engineer’s package.
- What are the characteristics of a dealer?
The characteristics of a dealer are skill, experience, mindset & network. These are the main pillars on which the whole industry was working.
- Name of famous billions with real estate as the main asset?
Li Ka-Shing is a famous billionaire with real estate as their “major” asset.
