Uganda Real Estates Business Ideas
With the ever increasing Uganda Population, now at over 29 million, Uganda real estates have become a major area of business in the country.
Purchasing real estate requires significant investment, and each parcel of land or property has unique characteristics.
We have created this section of the Uganda Real Estate Guide to help you start a profitable Real Estates business in Africa.
You will find information on the available real Estates business opportunities and some of the procedures you will need to follow to quickly get started.
Real Estates business Opportunities
Uganda currently has about 6 major niches within the Real Estates Business, we can classify them as follows:
- Niche #1: Real Estate Brokerage - A fee charged by the mediator who facilitates a real estate transaction between the two parties.
- Niche #2: Land Real Estate Development- You buy land and improve it by adding services and utilities including Roads, Electricity, and Water. You then divide up the land into smaller planned plots and sell them out for a profit.
- Niche #3: Condominium Uganda Real Estates Development- You construct a Building , divide it into different units, then you sell out the units.
- Niche #4: Commercial Real Estate Development- You construct a building and Let out each of the units at a monthly fee.
- Niche #5: Real Estate Management- You Manage a property owned by someone else.
- Niche #6: Uganda Real Estates Appraisal- You offer Professional Real Estate valuation services
You can set up a Real Estate Agencies that conducts business within the 6 niches or you could specialize in a specific Real Estate Business Niche.
The niche you choose will largely depend on the following factors:- The Demand: Currently there seems to be more demand for Plots of Land and space for Rent, than for condominiums and homes.
- The Capital: The Amount of Capital you have will help you assess whether to start as a broker or as Real Estate Developer.
- Your Expertise: You cannot not engage in Real Estate Valuation when you do not have the necessary expertise because it will be costly to hire a valuation consultant each time you get a contract.
How to start a small Uganda Real Estates Business.
- If you have very little spending money to capitalize your Real Estate Business, begin by helping your neighbor sell her plot for a commission. As you grow, you will be able to register a formal Real Estate Agency and handle bigger business.
- You can also buy land from an individual slice it into smaller plots and sell the small plots to your clients at a profit.
- You could also just purchase many plots, say five, from a Land Real Estate Developer and when their value increases, within 6 months to 2 years, you then re-sell these same plots at a profit.
- You could also just buy the plots, construct your own small residential units and rent them out.
- You could also go straight away and buy several units within a condominium and then rent them out for a monthly income.
- You could also get a lease for a huge chunk of land, sub-lease the biggest portion of it for some monthly income while you develop a small manageable potion of this land.
- The forth idea, is to buy a plot of land in a prime area, construct a nice home, and rent out this home for a monthly income.
- If you have a little more money, you can buy an old house, within a prime area, give it a face lift, and sell your new house for a profit.
Guidelines to Sub-dividing your Land Real Estate for sale.
- You need to first survey your Land Real Estate
- You then need to produce your survey deed plans
- Your deed plans must be certified and signed by commissioner for survey and Mappings
- Your area boundaries should also be clearly shown
- The new plot numbers that have been allocated by the commissioner should be shown
- You also need to pay the survey costs
- You should have secured written consent to subdivide your land Real Estate from the Land Board.
- The board may instruct a district surveyor to survey the land
- The surveyor will fill out mutation forms which give the description of your land real Estate.
- The surveyor will then take your plans for commissioning.
- The registrar prepares your new Land title upon receipt of your deed plans
This process is quite involving and might involve many un planned delays, you're therefore safe if you hire a Consultant to walk you through the system.
You need to be careful not to spend much money on your Uganda Real Estate Consultant without having any tangible results. The procedures we have outlined for you can help you develop the terms of reference for your Real Estate Consultant.