manie: A friend who works with UBA Capital invested 4 million Naira on the shares of UBA in January 2012. He planned to hold the stock for 36 months that is till January 2015. The average purchase price of the stock was between N2.35k and N2.50k.

The guy got a dividend of 702k from his stock in June 2013, after which he sold 90% 0f his shareholding for about 10.5 million Naira. With the sale of 90% of his UBA shares and the dividend received he has over 11 million Naira. He is now contemplating what to do with the money considering the various alternatives that are available.

Firstly he does not have a country home in his home town, that is Odogbolu in Ogun State. His younger brothers all have a country home at Odogbolu and he is the only one left out among the 3 of them. He is therefore thinking of using the money to build a house at Odogbolu.



Secondly he has a fenced plot of land at Ajah, he stopped in 2009 at the foundation stage. He is considering using the 11 million Naira to build a moderately finished 2 units of three bedroom flats that will give a minimum rental income of 1.1 Million Naira.I currently charge my tenants 550k per annum, he may decide to charge same or higher rate.


Thirdly, he believes stocks like Zenith Bank, FBN, UBA, UBA Capital, Access Bank and ETI are currently undervalued, investing in this stocks should give an average dividend yield of 6.5% is over 700k and an upside potential of 30% to 40% that is 3.3 million Naira to 4.4 million Naira in the next 12 months.


What will do you if you are in Supo's shoes.

manie:


That is a good idea. But I do not think that 8 million will complete the project. I think completing the 2 units of 3 bedroom flats and letting it out is a better idea.

By completing the house, he can let each flat out for 550k to 600k per annum. I just got a new tenant that paid 2 years rent advance. If he can get 2 years rent advance from each flat that will be 1.1 million to 1.2 million Naira per flat, the two flats will give a combined income of about 2.2 million to 2.4 million Naira that can later be invested in stocks.

Stocks like Zenith Bank, FBN, UBA, UBA Capital in 12months-->3.3 million Naira to 4.4 million Naira in the next (12 months/1yr)



While house rentage of 550k to 600k per annum would be--> 1.1 million to 1.2 million Naira per flat(2flats x 2= (2.4Million/Yr)

Stock=4.4Million Subtract Rentage 2.4Milion.

My good friend, you can always make more sales from your stock and then come back and build your home for rentage. Even more Flats for yourself.

I might be wrong duh

olushowunm: @OP... I'M FROM ABEOKUTA AND I ALWAYS WONDERS WHY PEOPLE IN LEKKI/AJAH AXIS USE SO MUCH MONEY TO DO CONSTRUCTION...

WELL, I CAN DELIVER HIM 2UNITS OF 3-BEDROOM FLATS AT 7-8MILLION WITH QUALITY CRATFSMEN THAT HAVE WORKED FOR ME ON SEVERAL BUILDING PROJECTS.

THE ONLY THING THAT WILL COST HIM MORE MONEY THAN NECESSARY IS WANTING MARBLE OR OTHER EXQUISITE FINISHING...

WELL, THE COST ALSO INCLUDES USING STEP-TILES ROOFING, POP FINISIHING AND OTHERS.

YOU CAN CONTACT ME FOR MORE INFORMATION IN THAT REGARD.

THEN CONCERNING BUILDING A COUNTRY-HOME, ITS TOTAL WASTE OF TIME AND MONEY... I HAVE A LOT OF THEM HERE IN ABEOKUTA, WHY WILL YOU BUILD HOUSE FOR LIZARDS AND RATS

IF YOU ARE BUILDING AT ALL, IT SHOULD PUT MONEY BACK IN YOUR POCKET AND NOT THE OTHER WAY ROUND!!!

SO MY ADVICE IN THAT REGARD SHOULD BE...

1. FINISH AJAH HOUSE (WHICH I CAN HELP HIM WITH)
2. BUILD A RENTAL PROPERTY (TENEMENT HOUSE) IN AGO-IWOYE FOR RENT TO STUDENTS OR BUY HIS STOCKS... THANKS.

aasog1:
1. Shares have fixed prices, you can't sell at your own price, and you can't eliminate the Brokers who worse than agents, and most of them are professional fraudsters who'll make sure they frustrate you totally. It happened to me, and a close friend.

2. My Village is at Idah, Kogi State. Since the past 10 years, more people have left this place, than most people have. Though some houses have been built there, but their value remain as low as ever. If your village isn't in Lekki, Abuja, or Ogun State, you will regret such action as your investment won't bring any ROI besides giving some village champion status.

3. Build in Lagos. You could read some of my thread. A plot in Lekki in 2001 was selling for 100k, today the same plot sells for 20million upwards. In 2005 I bought my first property in Ilupeju, Mushin lagos for 3million, and sold the place in 2010 for 17million. I am not from Lagos, I am not even totally Yoruba, but I won't be like some disillusioned folks here who won't rise beyond tribal shackles and accept business is what it is: it has nothing to do with emotions but reality. Build in Lag, I have loads of properties that might interest you.

PS: at Seun, kindly get rid of lawyer from the property section. He's turned that section to his pot of soup. Stuff like this should be there, but no one goes there anymore besides his boys. And besides, only his commercial threads in that section every makes frontpage. Kindly note this.

manie:


That is a good idea. But I do not think that 8 million will complete the project. I think completing the 2 units of 3 bedroom flats and letting it out is a better idea.

By completing the house, he can let each flat out for 550k to 600k per annum. I just got a new tenant that paid 2 years rent advance. If he can get 2 years rent advance from each flat that will be 1.1 million to 1.2 million Naira per flat, the two flats will give a combined income of about 2.2 million to 2.4 million Naira that can later be invested in stocks.

manie:


The guy is currently a tenant at Surulere, where he pays 650k per annum for his apartment but he prefers Surulere to Ajah. Surulere is less than 20 minutes drive to his office at Marina Lagos.

Royal Roy: I need ur advice on shares & stock please!!
How easy is it to sell it off when u already made gains?
Will it take time or you can get buyers instantly?

O Greene: INVESTING IN STOCKS!!!! How do i know which companies to choose, the better rates, NSE, dividends,......etc. Someone pls fill me in, i need to understand this subject better bcoz am looking @ investing very soon. Oya!!!!!! teach me oooo.

O Greene: INVESTING IN STOCKS!!!! How do i know which companies to choose, the better rates, NSE, dividends,......etc. Someone pls fill me in, i need to understand this subject better bcoz am looking @ investing very soon. Oya!!!!!! teach me oooo.

I no know book:
Hype it, then when it becomes hot, dump it. It's nothing but a hype and dump thingz, it's an ageless, well practiced system of hyping stocks. And trust me, it's gonna work, because there will always be suckers. How could shares you bought with N4,000,000.00 in 2012 pay you a dividend of 702k in 2013? How much did UBA declare as dividend? Please, people look before you leap because I know that so many people will be rushing off to buy UBA stocks after reading this clever advert. DON'T BE A FOOL!

I no know book:
Hype it, then when it becomes hot, dump it. It's nothing but a hype and dump thingz, it's an ageless, well practiced system of hyping stocks. And trust me, it's gonna work, because there will always be suckers. How could shares you bought with N4,000,000.00 in 2012 pay you a dividend of 702k in 2013? How much did UBA declare as dividend? Please, people look before you leap because I know that so many people will be rushing off to buy UBA stocks after reading this clever advert. DON'T BE A FOOL!

As for the country home project, i need people to understand this. Building at home only has a social value and nothing more.

johnie:

I am even wondering if there isn't insider trading involved given that he works with UBA Capital and "made" all that money from UBA stocks.

Secondly the OP has given too many personal details

It's all fictional Man.

manie: A friend who works with UBA Capital invested 4 million Naira on the shares of UBA in January 2012. He planned to hold the stock for 36 months that is till January 2015. The average purchase price of the stock was between N2.35k and N2.50k.

The guy got a dividend of 702k from his stock in June 2013, after which he sold 90% 0f his shareholding for about 10.5 million Naira. With the sale of 90% of his UBA shares and the dividend received he has over 11 million Naira. He is now contemplating what to do with the money considering the various alternatives that are available.

Firstly he does not have a country home in his home town, that is Odogbolu in Ogun State. His younger brothers all have a country home at Odogbolu and he is the only one left out among the 3 of them. He is therefore thinking of using the money to build a house at Odogbolu.



Secondly he has a fenced plot of land at Ajah, he stopped in 2009 at the foundation stage. He is considering using the 11 million Naira to build a moderately finished 2 units of three bedroom flats that will give a minimum rental income of 1.1 Million Naira.I currently charge my tenants 550k per annum, he may decide to charge same or higher rate.


Thirdly, he believes stocks like Zenith Bank, FBN, UBA, UBA Capital, Access Bank and ETI are currently undervalued, investing in this stocks should give an average dividend yield of 6.5% is over 700k and an upside potential of 30% to 40% that is 3.3 million Naira to 4.4 million Naira in the next 12 months.


What will do you if you are in Supo's shoes.