Baghdad is undergoing some sort of Renaissance, believe it or not. As more and more people from all over the world head back to Iraq because of the tremendous opportunities made possible by peace, housing is at a premium.
In fact, a lot of the early wave of returning Iraqis are making quite a bit of money because they have bought out real estate that was essentially sold for a song.
Think about that for a second. I want you to wrap your mind around that concept. Can you imagine buying mid-city or urban real estate for a song? We’re talking about less than 20% of normal value.
I’m not talking about a 10% discount, nor am I blabbering on about a 50% discount. I’m talking about a whopping 80%. Imagine that.
You really cannot lose money with that steep of a discount. In fact, in certain parts of Baghdad, pricing was off by 95%.
Now, it’s easy to see why the prices crashed that low. Because of the horrendous aftermath of the US incursion into Baghdad and all of Iraq, people basically lost hope. People were scared. People were holding all sorts of fire sales for all sorts of assets, and this included real estate.
Well, fast forward to today and people are now beginning to see that we are in a deal of a lifetime. It is no surprise that, as wave upon wave of returning Iraqis go back to Iraq, the price of real estate starts to shoot up.
And, can you imagine how much money the initial buyers will be making because they were buying when everybody else were desperately selling? That’s the name of the game when it comes to real estate.
Well, here’s the thing. If you are trying to make passive income through apartment rentals in Baghdad, you need to level up. You really do.
I know that you probably did not expect me to say this. You probably are expecting some other message, but the truth is, since there are so many people snapping up properties and so many people have the exact same idea as you, which is to develop a stream of passive income that basically pays for itself, there’s a tremendous amount of competition.
As more and more people come in, and I’m not just talking about Iraqis, but also foreign consultants, foreign aid workers, non-governmental organization, aides and officials, there is a tremendous competition for renters. And this is why accommodations can’t just compete based on price.
You probably already know that because if you were competing based on price, what you’re telling the world is that your Baghdad apartment, for all its distinct charms and history, is basically another piece of commodity. In other words, the only difference between your Baghdad location and other real estate in your surrounding area is the price.
Now, what do you think will happen? That’s right, it will be a race to the bottom because if everybody’s going to be trying to undercut each other, rents start to go down. In fact, you’re starting to see this in certain parts of the city.
So how do you compete in a responsible way that preserves your dream of making a lot of money off the Baghdad real estate market through self liquidating, passive income investment activities? How do you make this happen?
Well, it’s actually quite simple. Invest in small cosmetic touches.
That’s right. By insisting on buying the best composite decking for your Baghdad apartment, you stand out from the competition. You give renters a very good reason why they should rent from you instead of another landlord.
If you keep this up, your perceived value continues to escalate over time while not shelling out all that much money.
You have to remember, perceived value is exactly that. It’s all about perception.
So if it means that I spent an extra dollar for somebody to perceive that my rental unit is worth a hundred dollars more, then that’s a good investment. Do you see how this works?
So do yourself a big favor, take a look at the best composite decking and other superficial investments so as to maximize the perceived value of your rental real estate property in Central Baghdad.