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Re: Home Ownership Is Mostly A Bad Investment- Expert Says by redcap: 7:53am On Nov 15, 2019 |
NairalandAngel:Sorry, it actually does. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by redcap: 7:53am On Nov 15, 2019 |
charliboy654: That guy knows what he is saying. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Deltatoto: 8:01am On Nov 15, 2019 |
ba7man:dont u no that those ur friends are mad? 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by bizzibodi(m): 8:02am On Nov 15, 2019 |
How many Nigerians has #40m to tie down building in ppties,in Nigeria there is little or nothing like ppties investment companies where multitude can collectively investment to build houses & share rents as profit.in Nigerian Everyman for himself.we dnt do morgage in nigeria,who taught him in Oxford that someone oweing a living space is thinking of investment? 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by jnoz23(m): 8:03am On Nov 15, 2019 |
All his Oxford education was a waste! 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by bizzibodi(m): 8:04am On Nov 15, 2019 |
pacehood:The man thinks he is in London,do we have morgage in Nigeria? |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Danialuone: 8:10am On Nov 15, 2019 |
Expert your analysis is not deep,infarct, it is one-sided In addition with annual rent.......... What of capital appreciation on Land and House? What of buck recovery of capital invested if you disposed your house? What of the comfort of owing a house? 3 Likes |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by amywonda: 8:14am On Nov 15, 2019 |
Viking07:this is trash rejoinder... the people in question did not invest the money they would have used to buy a house in a safe vehicle, tgat yeilded more than enough to pay their rent... tbe premise of tbe initial arguments is for those that can afford to buy a house not those that would not see 40million in their lifetime. A better argument would be the capital appreciation of your home over that of treasury bill or other very safe investments negates tge benefit of making yearly income and paying rent 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by mrvitalis(m): 8:30am On Nov 15, 2019 |
aybabz101:Owning a house would cost u nothing less than 10 million no matter how small the house is Using that ten million to start a business or tressure bill would get u enough money to get a better house than the one u built. ....what ever made u not to be able to pay rent would make u sale your house if u have one 3 Likes 1 Share |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Nobody: 8:31am On Nov 15, 2019 |
In UK maybe but not in a cash based economy like Nigeria. Mortgage rates (13-22%) here are ridiculously unsustainable. Again rate of capital appreciation here is high, a property can easily double or triple its value in 10years. This is not the case in the UK or any other developed clime. If you base your property investment on the Rate of Return using rent alone he will be more than right but capital appreciation trumps that in Nigeria. 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by obumslow: 8:35am On Nov 15, 2019 |
vikstandon: Golden rule before settling down. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by TEYA: 8:38am On Nov 15, 2019 |
charliboy654:What he said is true, but not every Nigerian can understand it. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by dheaven: 8:41am On Nov 15, 2019 |
etukiniini:its even more than 30m profit in 10 years because the second year you are to invest 43m instead of 40m and so on it continues like that. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by TEYA: 8:42am On Nov 15, 2019 |
Viking07:If all you do is earn salary, pay rent and school fees, spend the rest and wait for the next pay slip then his advice is not for you. He even showed how someone investing in treasury bills can pay rent and keep some change. If a landlord does not want me in his house I move to another one, period! So long as I have money to pay my rent. 2 Likes |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by TEYA: 8:45am On Nov 15, 2019 |
aybabz101:You guys didn't completely get Dr. Tayo. He said there are conditions under which house ownership is not a wasted investment and one of them is if the mortgage is less than 8%. If there is an organisation that can give you loan at 0% interest, then it is good for you. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by TEYA: 8:49am On Nov 15, 2019 |
dake40:Comprehension seems to be a rare skill on nairaland. This man gave the bolded conditions but nairalanders failed to see it. Na wa o! |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by IamYorubanza: 8:52am On Nov 15, 2019 |
Yoighaman:I swear I kept on wondering the same thing.... why are they mentioning western countries when he clearly said LAGOS.... the wise are few indeed. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Antoeni(m): 8:54am On Nov 15, 2019 |
Who is this? |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by djoe21(m): 8:59am On Nov 15, 2019 |
charliboy654: He is capitalising on the owner's bad investment. |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by AntiWailer: 9:02am On Nov 15, 2019 |
helinues: Read. I am not summarizing jack. U can live Ur life the way u want. Byee 1 Like 1 Share |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by einsteine(m): 9:04am On Nov 15, 2019 |
Nigerians will always argue against this and it is a reason for increasing poverty among them. You will see someone take a loan from a cooperative to go and build one decrepit house in ikorodu just to be called a landlord. The fellow would now be traveling daily to VI for work at a great inconvenience. People have tied so much of their wealth in real estate when they could have used the money to invest while leaving in a much more comfortable area at a rent that would be less than 5 percent of the value of the house. People need to understand that utility is more important than ownership. 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by upper(m): 9:08am On Nov 15, 2019 |
The OP clearly stated that you may chose to own a house due to societal concerns. However, in terms of economics, it's a bad investment. NairalandAngel: 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by BreconHills(m): 9:15am On Nov 15, 2019 |
cue64: He is not far from the truth. The only caveat is that location matters. The yield on a build in Amuwo Odofin is higher than Banana Island and the yield on high end university hostel is higher than almost any other type of property. It is a function of build cost/ rental value. Property is in our blood and no one should take it out. But caution should be the watch word. I work as Trustee for some old families; some with 20 plus houses and I can tell you that unless actively and dispassionately managed, the third generation sells at pretty low prices. In many cases and over 20 years or so, supporting infrastructure decays or the most of excellence shrinks as slums grow outwards, more modern developments come on stream - your guess is a good as mine. So yes a person building slowly without debt will save money on prior rental and if it is a duplex may make some money in the bargain. Mind you there is an annual amortised cost so rent must exceed amortised cost. A property built for 100mn at rental of 4m takes 25 years to break even assuming an inflation rate of 0% There is always the leverage value of a home but what investment can pay back those type of loans? Active and dispassionate management is key but how many people go on to sell the houses they have lived in? And even if they do attempt to sell they can be hit by the "endowment" effect and place a high premium on the property. I know that there are many people making money from property on NL and and I am not raining on your parade, I am only looking on as a Trustee with a minimum of a 25 year investment horizon. 2 Likes |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by ibawon(m): 9:18am On Nov 15, 2019 |
TO SLAP THIS MUMU HEAD DEY HUNGRY ME HAN HAN 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by helinues: 9:23am On Nov 15, 2019 |
AntiWailer: Then stop doing cho cho if you dont have any counter arguments 1 Like |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Benyork4(m): 9:31am On Nov 15, 2019 |
Your thoughts are great, but it's like it's only Lagos your research ended. Don't be too carried away, your own is your own. Renting too has more issues than owning an apartment. In Nigeria, if you got a house. You've saved lots of issues. This is Nigeria. 2 Likes |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Ugosample(m): 9:31am On Nov 15, 2019 |
charliboy654: You hav no knowledge of finance so I will forgive your ignorance A renter with good cash flow is FAR BETTER than a homeowner with a redundant cash flow (wherw many nigger Nigerians fall btw) Cash flow is king. .Using most of your cash and income to build you a house that will generate zero income to you is STUPID! Some people build six unit apartments live in one and rent the other 5 that is smart but doing the other is STUPID |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Ugosample(m): 9:33am On Nov 15, 2019 |
einsteine: They lack exposure that is just the problem |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Ugosample(m): 9:37am On Nov 15, 2019 |
dake40: thank you very much there are still sensible people on NL Nigger Africans will not open their mind to learn that is why poverty will not depart their midst .that cultural attachment to property is just |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Ugosample(m): 9:38am On Nov 15, 2019 |
dake40:which leads them to poverty |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by seniormallam(m): 9:41am On Nov 15, 2019 |
Only business men will understand this man, if you are a civil servant pls wetin concern you with #40m talk?, Goto ikoyi , central area in abuja and see locked duplexes, if not that the owners are politicians that will go back to our treasury and steal more money, Locking of 150m house for 5years without living in it or renting it out is what? Which private businessman will do that? Go and tell Shina peller or Akin Alabi to buy house in abuja because of their 4years tenure election they won. Shina peller instead of buying a house in abuja, Bros is building new quilox club in abuja, sense will not kill this Bros. 2 Likes |
Re: Home Ownership Is Mostly A Bad Investment- Expert Says by Ugosample(m): 9:46am On Nov 15, 2019 |
drlaykay: thank you o |
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