So according to you the only way of demonstrating wisdom is tying up money in a house?
2 Likes
Kama unapata pesa, weka kiasi ya kujenga, gaines, kwani how much do you earn? kama una earn 200k plus every month… uki invest 60k every month kwa nyumba na anothter 70k kwa investments, na ukule the difference unataka kusema hauta manage kujenga keja after five years.
1 Like
A house is more of a consumer item than an investment. It is like a personal vehicle. It is nice to have if you can afford it without sweating but terrible to have if you will be funneling every dime you have building it. Mtu kama mimi sitaenda kuishi in some remote and unsafe ran-down district kwenye hata sio controlled development just to say I own a house. I would rather just blow that 50k renting a nice townhouse in a gated estate bila stress. So far so good.
7 Likes
In my view nyumba ni kulalisha pesa. Hata nikifanya ivo sitajenga nyumba yenye napenda so what’s the point? Cha muhimu ni kuhakikisha nimeinvest hiyo pesa sio lazima nijenge nyumba. 60k per month ni peanuts kujenga nyumba itanibamba. That is a paltry 3.6 million in 5 years. Ile nyumba naishi saa hii is valued at 12M minimum (sio yangu I am a tenant). I only care about having investments that will cover my rent in perpetuity, not actually owning the house.
6 Likes
HApo sawa, kila mtu huwa na starehe yake
the problem is going into home ownership thinking umehepa all house expenses, there are expenses even in home ownership and also opportunity costs that can be costly.
For a young person or one with a young family, dont rush into home ownership, be disciplined na ujijenge kwanza, na when that time comes unataka kujenga, be very deliberate na location, tafuta place at least where you have a neighborhood with people who you can reason with otherwise hii Kenya kuna watu thinking yao ni ya ajabu.
9 Likes
@Yuletapeli I noticed that most people who contribute to this debate on home ownership are not married and have no kids. That’s why it rarely makes sense to them
3 Likes
Very true. Msee ana plan ku marry na kuwa na wajunior, ataona umuhimu wa kaburoti mahali. System ya ULANYE ndio imeharibu elders akili
2 Likes
Mzungu has a maintenance culture. Mwafrika thinks that once you build a structure, that’s the end of it
4 Likes
A house is an INVESTMENT.
Assume 2 employees paid same 150k. One pays 50k rent and the other one has built his home. Their disposable incomes will be:
Renter: 150-50=100k
Homeowner: 150-0=150k.
So the home owner will be having 50% more money to spend despite both doing the same job and earning same salary. Its like the home owner got a 50% payrise kwa job.
And things will get very tricky when they retire coz the homeowner will be relaxing in his veranda na balozi with zero rent worries while the renter will be struggling to raise funds to pay rent while in retirement..
Also the home owner can build an extension to house his boys or rent it out giving him more income. Or the homeowner could decide to sell the home+land and get millions and relocate elsewhere while the renter has nothing to sell.
So a home is the best thing one can acquire, its a huge investment, a cash cow.
1 Like
Maintenance. The roofing clay tiles have been recently waterproofed to prevent leaking (Should be repainted after such a job).
Flawed assumption:
You are starting off the blocks assuming that the homeowner already has a home. Where did the home come from? Inheritance?
A better assumption would be:
2 brothers get their very first job at the very same time after graduation, earning 150k each. Then they each inherit 20 million bob from their father. Again at the same time.
One decides to buy a house. The other decides to rent at 50k per month, and invest the 20 million bob.
Who is likely to have more money at the end of each month? Who is likely to be better off financially 20 years later?
6 Likes
Na ukaendeleza ulevi?
context hapa ni speech yake, mimi najua when to hang my boots elder. Uko na kwako?
after 40 utakuwa unajengea nani? Build early so your children can enjoy the space
2 Likes
so the person who is gifting you was not very bright in building it?
Paying rent Ni upuuus… enriching the landlords as they suffocate you monthly, now look at the agent asking for 2 months rent shamelessly, crazy. Hapo nilijitoa Dec 2019,
It was like I removed a heavy luggage from my damn head! Been so free since then,
1 Like
I see you’ve gone back to your main account. Change the picture.
So the house dropped from heaven? The home owner must have built it using the same salary as the other rent payer invests his salary in businesses that can then comfortably pay his rent
1 Like
Paying rent is paying for a service just like buying food.Paying rent is only an issue kama unaishi in an overpriced house or above your means au huna income otherwise kama uko na income unalipa ata miezi tatu in advance shida iko wapi.
Ni ka kusema utalima food yako ju ya soko ni scam.
Make money in what you know and buy what you dont produce.
Urbanization bado haijatuingia vizuri we have along way to go.
6 Likes