10/9/25

EP #12 | Real Estate ROI Secrets From $Million Developer

Building Wealth Through Strategic Real Estate Investment: Lessons from a 29-Year Industry Veteran

Real estate investment continues to be one of the most reliable paths to long-term wealth building, but success requires more than just buying property. In this comprehensive guide, we explore proven strategies from Femi Rogers, CEO of Roston Group, who has built a successful real estate empire spanning 29 years across the US and Nigeria. From his humble beginnings working alongside his mother on construction sites to leading custom home construction projects internationally, Rogers shares the systems and strategies that have driven his success in property development.

The Foundation: Early Lessons in Real Estate Investment

Learning from Family Legacy

Femi Rogers' journey into real estate investment began at age 12, working alongside his mother who developed properties while maintaining her banking career. This early exposure taught him fundamental principles that still guide his investment strategy today.

"She said to me once that as long as you are involved in one project, you have less cash flow to spend on frivolous things. And that's one reason why she's always building one house after the other."

His mother's approach of reinvesting profits into new projects rather than lifestyle expenses became a cornerstone of Rogers' wealth-building philosophy. This strategy of continuous reinvestment has proven crucial for long-term real estate success.

The Power of Hands-On Experience

Before becoming a developer, Rogers worked as a contractor, gaining expertise in:

  • Cabinet making and installation

  • Contemporary handrail installation

  • Light fitting and electrical work

  • Building materials sales

This comprehensive understanding of construction processes gives him a significant advantage in project management and cost control, essential skills for maximizing real estate investment returns.

Why Real Estate Remains the Premier Wealth-Building Vehicle

Control and Tangibility

Rogers emphasizes that real estate investment offers something other investment vehicles cannot: complete control over your asset.

"In real estate, you actually control the investment, you own it, you have bragging rights that you can walk it, you know, it's physical and all these matters."

This control allows investors to:

  • Make improvements that directly increase value

  • Manage cash flow through rental income

  • Leverage the property for additional investments

  • Build equity through appreciation and loan paydown

Wealth Preservation Through Real Estate

Unlike stocks or cryptocurrency, real estate provides a physical asset that serves as a hedge against inflation and economic uncertainty. Rogers notes that his mother's wealth was primarily stored in the real estate she owned, demonstrating the asset class's ability to preserve and grow wealth over decades.

Maximizing ROI: The Two-Pronged Approach

Strategy 1: Increase Property Value

Rogers identifies several key areas where strategic improvements can significantly boost property values:

Layout and Design Excellence

  • Prioritize room sizes and flow over expensive finishes

  • Create seamless transitions between spaces

  • Focus on high-ceiling designs and open floor plans

Strategic Finish Upgrades

  • Concentrate premium finishes in master bathrooms and kitchens

  • Select fixtures that provide maximum visual impact for the investment

  • Maintain consistency with neighborhood standards

Strategy 2: Systematic Cost Reduction

Cost control requires systematic approaches rather than corner-cutting:

Subcontractor Management

  • Develop relationships with multiple tiers of subcontractors

  • Match subcontractor quality and cost to project requirements

  • Maintain consistent quality standards across projects

Material Sourcing and Procurement

  • Negotiate volume discounts through scaled operations

  • Source materials strategically to avoid cost overruns

  • Maintain quality standards while optimizing costs

Understanding Your Market: Investor vs. Homeowner Buyers

Emotional Buyers (Homeowners)

Homeowner buyers focus on:

  • Aesthetic appeal and finishing quality

  • Lifestyle features and comfort

  • Emotional connection to the property

  • Premium finishes like granite countertops and high-end fixtures

Analytical Buyers (Investors)

Investment buyers prioritize:

  • Cash flow potential and rental income

  • Return on investment calculations

  • Property appreciation prospects

  • Maintenance and operational costs

"Most investors when they call you, they're looking at how much do I get in rent, how much am I buying it for, how much discount can I get?"

Understanding your target buyer allows you to allocate resources appropriately and maximize both sale price and profit margins.

The Systems Approach: Scaling Through Standardization

Spec Home Strategy

Rogers has built his business around developing spec homes, standardized properties built without a specific buyer. This approach offers several advantages:

Reduced Risk Through Repetition

  • Minimize errors through repeated execution

  • Refine processes with each project

  • Develop expertise in specific property types

Economies of Scale

  • Negotiate better pricing through volume purchases

  • Streamline construction processes

  • Reduce per-unit costs through standardization

Quality Improvement Over Time

  • Continuously refine finishing and design elements

  • Learn from each project to improve the next

  • Build reputation through consistent quality

Custom vs. Spec Development

While custom homes might offer higher individual project returns, Rogers advocates for spec development due to:

  • Predictable timelines and costs

  • Ability to scale operations

  • Reduced client management requirements

  • Consistent profit margins across projects

Market Timing and Investment Strategy

Buying in Buyer's Markets

Rogers emphasizes that current market conditions (as of the interview) present excellent opportunities for buyers:

Advantages of Buyer's Markets:

  • Developers willing to reduce prices by $50,000-$60,000

  • Increased negotiating power for buyers

  • Access to incentives and concessions

  • Opportunity to secure properties below peak pricing

Interest Rate Strategy: Even with higher interest rates, buying during market downturns can be advantageous because:

  • Purchase prices are significantly lower

  • Rates can be refinanced when they decline

  • Monthly payment savings from lower purchase prices often exceed interest rate costs

Preparing for Market Cycles

"I spend a lot of my time getting ready for the good time. There is never a downtime for us once the market goes down."

Successful real estate investors prepare for market cycles by:

  • Continuing to build and develop during slow periods

  • Researching new markets and opportunities

  • Strengthening business systems and processes

  • Maintaining cash reserves for opportunities

Key Takeaways for Real Estate Investors

1. Embrace Market Cycles as Opportunities

Don't let market conditions paralyze your investment strategy. Use slower markets to:

  • Negotiate better purchase prices

  • Secure better terms with contractors and suppliers

  • Prepare for the next market upswing

2. Focus on Systems Over Individual Deals

Building scalable systems creates more wealth than pursuing high-margin individual projects. Systematic approaches enable:

  • Consistent quality across projects

  • Predictable profit margins

  • Ability to scale operations effectively

3. Understand Your Target Market

Success requires knowing whether you're building for investors or homeowners. This knowledge drives decisions about:

  • Finish quality and selection

  • Pricing strategies

  • Marketing approaches

  • Property features and amenities

Building Long-Term Wealth Through Real Estate

Real estate investment success isn't about timing the market perfectly or finding the one perfect deal. Instead, it's about developing systems, understanding your market, and maintaining a long-term perspective on wealth building.

As Rogers demonstrates through his 29-year career, consistent application of proven strategies, combined with continuous learning and adaptation, creates sustainable wealth through real estate investment.

Resources and Next Steps

Ready to implement these real estate investment strategies? Consider these next steps:

  • Research spec home opportunities in your target markets

  • Develop relationships with reliable contractors and subcontractors

  • Create systems for evaluating and comparing investment opportunities

  • Build a network of industry professionals including architects, contractors, and real estate agents

Want to learn more about real estate investment strategies? Listen to the full Build Shefa podcast episode featuring Femi Rogers for additional insights and detailed examples. Subscribe to Build Shefa wherever you get your podcasts, and don't forget to leave a comment below sharing your own real estate investment experiences.

Connect with Femi Rogers: Visit www.femirogers.com to learn more about Roston Group's custom home construction services and development projects.

Have questions about real estate investment strategies? Leave a comment below and join the conversation about building wealth through property investment.


Keywords: real estate investing, Femi Rogers, Roston Group, The ROI Masterclass Podcast, real estate investment strategies, real estate wealth building, property development, real estate systems, real estate portfolio growth, real estate construction, custom home development, spec home strategy, property market cycles, buyer’s market investing, long-term wealth creation, real estate investor mindset, real estate ROI, cost control in real estate, subcontractor management, real estate business systems, building wealth through property, investing in real estate US, investing in real estate Nigeria, real estate leadership, real estate success stories, home building strategies, property value increase, real estate market analysis, real estate entrepreneurship, financial freedom through real estate, real estate investment guide

Previous

EP #13 | 90% of Healthcare Software Goes Unused - Here's Why

Next

EP #11 | 55% of Investors Lose Money - AI Fixes Real Estate