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Is Taking a Mortgage the WORST Decision Ever??
Rank: Member Joined: 1/2/2008 Posts: 268 Location: Nairobi
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Now if this can happen to a prominent Kenyan, what of a common mwananchi who cannot afford to go to court?
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Rank: Member Joined: 1/2/2008 Posts: 268 Location: Nairobi
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This is partly a false alarm.Though there could b some truth in the story. Most of these houses are overpriced and there will be very few buyers and leasers.
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Rank: Member Joined: 5/31/2009 Posts: 226
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I also need advice btn Mortgage and Rent. I Have an already approved mortgage for 2 bedroom house Olonyori Estate 1km from msa rd on fully paved cabro rd beautifull neighbourhood with safaricom blue bells, greatwall phase 123 all doing very well at 6m Olonyori is the best priced here at 4.25m am raising 2m plus charges and stamp duty. I also have a 50x100plot in a prime area 2km off Yukos Kitengela inside a gated community where there are 17 other plots all sold now with a perimeter wall all around and ready borehall one gate only plots on either side of the internal road area flat and access rd all weather plans to make it cabro under way by developers just 700m away with 4bedroom maissonettes hitting 10m. Price is 1.3m already paid 10%. My idea was to rent at Olonyori 25k pm for 2 years by then the gated community place would be ready for settling and can start building with the money that i would otherwise use to raise mortgate deposit. I can only manage one option if i take the mortgage i forget the plot and vice versa. I work around JKIA so distance not an issue just a i need advice with reasons am in love with both places. Completion of the green terminal at jkia 2017 might double prices of apartments here on the hand that place in kitengela looks hot torn unable to dcd help needed family 1 kid no more than 2
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Rank: Veteran Joined: 7/5/2010 Posts: 2,061 Location: Nairobi
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icecube wrote:This is partly a false alarm.Though there could b some truth in the story. Most of these houses are overpriced and there will be very few buyers and leasers. The Kenya housing market has never made any sense to me. ...you think a correction is long overdue, but it never materializes. Guys develop and price the units at 300% of unit cost and stubbornly stick to that mark, even when inventory is not moving. In other places, banks would be shaking in their boots, staring at defaults and writedowns, and prices would tumble, to keep things in the black. Kenya? Loans get serviced, defaults are few while sales are low to medium. Baffling. I think there is a lot of racketeering and laundered money getting cleaned through real estate and hence the unreal, unbalanced situation in this town.
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Rank: Elder Joined: 7/22/2009 Posts: 7,910
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quicksand wrote:icecube wrote:This is partly a false alarm.Though there could b some truth in the story. Most of these houses are overpriced and there will be very few buyers and leasers. The Kenya housing market has never made any sense to me. ...you think a correction is long overdue, but it never materializes. Guys develop and price the units at 300% of unit cost and stubbornly stick to that mark, even when inventory is not moving. In other places, banks would be shaking in their boots, staring at defaults and writedowns, and prices would tumble, to keep things in the black. Kenya? Loans get serviced, defaults are few while sales are low to medium. Baffling. I think there is a lot of racketeering and laundered money getting cleaned through real estate and hence the unreal, unbalanced situation in this town. This is a huge problem in Kenya and the authorities never seem to care! From drug money to Al shabaab/piracy money, poaching money etc. This cause an imbalance in the economy leading to inflationary forces evidenced by ridiculous prices. Clamp down on dirty money and some of these problems will be sorted. Government should also get involved in housing directly or indirectly on a large scale and the prices would be tamed! Never count on making a good sale. Have the purchase price be so attractive that even a mediocre sale gives good returns.
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Rank: Member Joined: 9/20/2007 Posts: 252
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premio wrote:I also need advice btn Mortgage and Rent. I Have an already approved mortgage for 2 bedroom house Olonyori Estate 1km from msa rd on fully paved cabro rd beautifull neighbourhood with safaricom blue bells, greatwall phase 123 all doing very well at 6m Olonyori is the best priced here at 4.25m am raising 2m plus charges and stamp duty. I also have a 50x100plot in a prime area 2km off Yukos Kitengela inside a gated community where there are 17 other plots all sold now with a perimeter wall all around and ready borehall one gate only plots on either side of the internal road area flat and access rd all weather plans to make it cabro under way by developers just 700m away with 4bedroom maissonettes hitting 10m. Price is 1.3m already paid 10%. My idea was to rent at Olonyori 25k pm for 2 years by then the gated community place would be ready for settling and can start building with the money that i would otherwise use to raise mortgate deposit. I can only manage one option if i take the mortgage i forget the plot and vice versa. I work around JKIA so distance not an issue just a i need advice with reasons am in love with both places. Completion of the green terminal at jkia 2017 might double prices of apartments here on the hand that place in kitengela looks hot torn unable to dcd help needed family 1 kid no more than 2 hi @Premio, sounds like we are going to be neighbors at Olonyori! I like the development, its less congested compared to Greatwall which are too squeezed. Hoping to get possession of my unit in August. However my plan is to rent out the unit for the time being. Cheerz
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Rank: Member Joined: 6/26/2008 Posts: 401
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I want to hear from those who keep saying they have/will 'accelerate' payments. How did/have you do(ne) it? Especially considering you have everyday manenos such as food/clothing, school fees, funerals/wedding mchangos, hospital bills, rent, etc?
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Rank: Member Joined: 1/2/2008 Posts: 268 Location: Nairobi
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xtina wrote:I want to hear from those who keep saying they have/will 'accelerate' payments. How did/have you do(ne) it? Especially considering you have everyday manenos such as food/clothing, school fees, funerals/wedding mchangos, hospital bills, rent, etc? Considering that paying mortgage strains most incomes, I believe accelerating payments can be achieved mainly from a windfall or a big bonus from wherever...rarely from regular income, unless there is a noticeable increment in monthly earnings.
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Rank: Elder Joined: 7/22/2009 Posts: 7,910
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icecube wrote:xtina wrote:I want to hear from those who keep saying they have/will 'accelerate' payments. How did/have you do(ne) it? Especially considering you have everyday manenos such as food/clothing, school fees, funerals/wedding mchangos, hospital bills, rent, etc? Considering that paying mortgage strains most incomes, I believe accelerating payments can be achieved mainly from a windfall or a big bonus from wherever...rarely from regular income, unless there is a noticeable increment in monthly earnings. Never count on making a good sale. Have the purchase price be so attractive that even a mediocre sale gives good returns.
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Rank: Member Joined: 2/27/2011 Posts: 518
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mungaits wrote:premio wrote:I also need advice btn Mortgage and Rent. I Have an already approved mortgage for 2 bedroom house Olonyori Estate 1km from msa rd on fully paved cabro rd beautifull neighbourhood with safaricom blue bells, greatwall phase 123 all doing very well at 6m Olonyori is the best priced here at 4.25m am raising 2m plus charges and stamp duty. I also have a 50x100plot in a prime area 2km off Yukos Kitengela inside a gated community where there are 17 other plots all sold now with a perimeter wall all around and ready borehall one gate only plots on either side of the internal road area flat and access rd all weather plans to make it cabro under way by developers just 700m away with 4bedroom maissonettes hitting 10m. Price is 1.3m already paid 10%. My idea was to rent at Olonyori 25k pm for 2 years by then the gated community place would be ready for settling and can start building with the money that i would otherwise use to raise mortgate deposit. I can only manage one option if i take the mortgage i forget the plot and vice versa. I work around JKIA so distance not an issue just a i need advice with reasons am in love with both places. Completion of the green terminal at jkia 2017 might double prices of apartments here on the hand that place in kitengela looks hot torn unable to dcd help needed family 1 kid no more than 2 hi @Premio, sounds like we are going to be neighbors at Olonyori! I like the development, its less congested compared to Greatwall which are too squeezed. Hoping to get possession of my unit in August. However my plan is to rent out the unit for the time being. Cheerz carry enough mosquito nets. Hiyo syokimau dam bwana!
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Is Taking a Mortgage the WORST Decision Ever??
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