By Calvin Yeo (reproduced with permission from his blog www.investinpassiveincome.com)
I am sure many of you have heard of how people like Donald Trump and Li Ka Shing became billionaires through Real Estate. Can Real Estate do the same for you? How can you make lots of money through Real Estate? However, do note that Donald Trump and Li Ka Shing did not make become ultra-rich through Real Estate Investment, they made huge bucks doing Real Estate Development.
Why Real Estate Development is so Lucrative
What makes Real Estate Development so lucrative? In Singapore, developers buy land at a Price per Square Foot per Plot Ratio, throw in the costs to calculate breakeven price and then markup a good 15-25% to determine theselling price. It is quite transparent as most land sales are publicly announced and analysts always state expected selling prices. So it’s reasonable to assume ...
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