There is a company, indicated above, which says it can build you a home (your dream home) at affordable rates, after you pay 10% of the cost.

Then you pay the remaining in instalments - going for as long as 36 months.

Sounds not bad value proposition; Who knows more about this entity?

The advert was in today's Standard.

Thanks.

Pay quickly in cash before anyone else realises!

I saw that ad and l just thought it was abit too good to be true. However, its important to note that they wont be doing you a favour, they are business men and must make money from the endeavour. The question is, with such attractive offers how do they make money?

a. They could give you an over-estimated BOQ.
b. They could give you a correct BOQ but use lower quality that specified. Especially on electricals & plumbing. You will tell after you move in like 2-3 years down the road and they will have moved on.
c. They could give you correct BOQ, supply the quality quoted but issue you with VO (Variation Orders) as during the 3 years the cost of materials wont remain the same.
d. They could have such a tight contract that if you are unable to pay within 36 months, they have the first right of sale to offset their costs (which would be high, and that's why you couldnt pay), and you only get the remainder after their costs are offset. Not a pretty option.

That's how l see it.

The catch in this idea is in the installment plan. Questions to ask include what happens when one defaults on payment? How much interest do they charge on overdue amounts?

Also, I think 36 months is a very short period for a housing loan, which is what in effect they are giving you.

This questions must be answered very clearly otherwise one can loose money very easily

This is a good deal, and step 1 is to get a piece of land. So visit my blog:
http://www.nairobi-buyproperty-online.blogspot.com/