Dr. Tayo Oyedeji, a former professor at the University of Gerogia in the US, has said that, contrary to popular belief, "home ownership is mostly a bad business'', Praizenews report.

The Oxford-educated entrepreneur, who authored the book 'How I Retired at 40' shocked his followers when he made the revelation on Twitter and gave reasons.

He wrote:

Renting is wiser for most people. Don't buy a house unless: 1. Mortgage is < 8%. 2. You can pay cash. 3. You plan to live in it for 10 years. 4. You need the psychological comfort of home ownership. Rental/investment property is great. Home ownership is mostly a bad investment.
He added: "I'll share the math on home ownership sometime next week. The home you live in is your worst investment. For some of us, it's not even an investment. Don't buy the hype, do the math. Home purchase for living is a bad investment. Rental property is a great investment."
"Do the math. An average property in Lagos is N40m. Treasury bill rate is about 12%. Your N40m will yield N4.8m a year. You can rent a good home for N1.5m and still have N3.3m left over. Your house is costing you N3.3m per year. Do the math."

He went on to point out that, "Psychological comfort, societal expectations, and cultural norms are valid reasons for home ownership. But when it comes down to the math: it just doesn't work.

I own a couple of homes for the reasons stated above. They're not good investment. Investment is math, not emotions!"

News Source ; http://www.praizenews.com/renting-is-wiser-for-most-nigerians-finance-professor-dr-tayo-oyedeji/

Cc lalasticlala Mynd44 Seun

See More Photos and Reactions ==> HERE

More

You think say u dey wise ... lool
YOU ARE A MUMU MAN ...

I have lived in rented houses from N25k to N2m from school days to date. But I disagree with you. It's better in Nigeria to own you own house. Way way better. My mama get house and I know the difference.

About 10yrs ago, I paid rent of 2.5m for 3 bedroom apartment in Lekki.... Left Lagos so don't know how much it will cost now... This maths don't work for me. You may say so because you don't pay rent in Nigeria but for an average man in Nigeria, it's easier, convenient and much more better to own a house than to pay rent.
Someone said "The apprenticeship style of the Igbos has made more millionaires than the whole Nigerian universities put together"

This analogy can not work for Nigerians, paying rent is bad business
The economy is not stable, and you are not guaranteed funds as at when due
Owing a house will save you a lot of trauma, and make you plan more

Oga Dr stop misleading people, the his is Nigeria where rent increase every year. Is better to build your own house even if is one room. Peace of mind is important

If you follow this man mouth ehhh. You are finished.

Lalasticlala