Where can you invest in Real Estate Sector in Zambia?
In Zambia, real estate investments offer multiple options for all potential buyers and investors, including international and local. In this article, we have explained some of the most common real estate investments in Zambia.
The first and the most common real estate investment in Zambia is the residential real estate investment. Currently, as a residential estate investor in this sector, you gain a lot more return on your investment since there is a huge line of potential buyers in the market. These buyers are willing to make their purchases in high demand, and if you are not a fan of letting your property go in a small return, then you can always opt for renting the space to potential tenants. To invest in this sector, you must first assess the market, check which neighborhood would be best to invest in, and choose among the options available. The common investments would be in duplexes, high-value homes, furnished units, and multi-generational homes aimed at foreign tenants who prefer accommodations to hotels.
These options will provide you with a monthly rent payment on your property, which is a good option for selling it outright.
The second common investment option in Zambia is commercial real estate investment. This investment includes renting out office spaces and small buildings to SMEs or medium or high-rise buildings that you can rent to several corporate tenants. The rent is usually calculated on a per-unit basis, but in Zambia, this is calculated on a per-square-meter basis. These investments offer a higher return on investments than residential real estate investments. This is also an attractive investment option if you are considering investing in Zambia’s commercial real estate sector.
The third option is industrial real estate investment. This is a growing trend in real estate investment in most African countries, including Zambia. This type of investment is categorized as a commercial real estate since the end outcome is to rent out the space to the corporate or manufacturing sectors. Under this type of investment, you can invest in warehouses, factories, storage units, etc. These investments are long-term since they are rented on a very long-term basis. As a result, these investments typically come with a significantly higher rate of return than other real estate investments.
The last type of investment you can make in the real estate sector of Zambia island real estate. Common options in this type of investment include lending pieces of land to farmers for farming or other irrigational purposes. This type of investment yields a lower return rate than commercial or industrial investments but is comparatively higher than the residential real estate investment sector. So, if you want to invest in vacant land, opt for farming since it is usually a good option for investment in Zambia.