So you want to make 300% on your real estate investment? This short article Determine if you want to be a real estate trader or an investor.Investopedia defines a trader as,an individual who engages in the buying and selling of financial assets in any financial market, either for himself or on behalf of another person or institution.Warren Buffett defines investing as “… the process of laying out money now to receive more money in the future.” The goal of investing is to put your money to work in one or more types of investment vehicles in the hopes of growing your money over time.According to Investopedia, main difference between a trader and an investor is the duration for which the person holds the asset. Investors tend to have a longer-term time horizon, while traders tend to hold assets for shorter periods of time to capitalize on short-term trends.
Certainly, a trader needs to have more technical knowledge in order to get the needed gains over time. You can start off as a trader, and become an investor, or start off as an investor, and learn how to trade. The focus of this thread is for an investor. Assuming you're an investor, you have to think LONG TERM. This is where the value of any great investment yields. As a general rule, good investors use at least a 4 - 5 year time frame as a minimum. Anything less, and you're in the trader zone. We all engage in a lot of short term thinking - a lot of times, due to external pressures beyond our control, but to get better returns on your investment, you need to forcefully create a habit of long-term thinking. In 2006, a mentor bought a plot of land close to Chevron in the Lekki Peninsula axis of Lagos State for N3https://realtor.ng/blog million. By 2017, he was able to sell the land for 9 - 10 times that same amount he bought it. If he held it for 3- 4 years, he may not have gotten more than N5 - N6 million. The compounding of the investment was accelerated by holding it for a longer time period. In this case, he made over 1,000% on his investment
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