nauliseko tu
kwa waliosoma hesabu ya pesa au Real estate endaprenuas
How long should it take for a ‘nyumba kujilipa’?
i have always assumed tht its max 8 years.
as in, if i build a house today (commercial), wats the longest period in which i should have recouped the investment. (rent income only, not the land value).
saidieni priss
10 years assuming continuous full occupancy and returns at 5% above real value
agreed it should take 10 year or less but alot of factors come into play when considering return on investment.
Average yield in 10% but depends on location, market segment and a couple of other factors. 10% means it would take 10 years. The higher the yield, the shorter your ROI time. Best I have seen is 8 years
yes I agree but the lad said we should not consider land as a factor…that basically means a person building a CBD project the ROI will less that time nearly by half comparing the same cost to a place outskirt capital city. He likes it or not land has to be factored in.
Location isn’t necessarily land value. You can charge higher for rent in certain areas though cost of construction would generally be the same if you were to construct rental units. And have a proper density to land value ratio.
sawa watunguyaz
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