thts how it should be. alinunua kwa kichaka. io time wenzake maybe waliona anawaste pesa, but yeye alikua anaona kitu hawaoni. alinunua a cheap price ju hakuna mtu alikua anaona hope kwa io area. sa ii watu wananunua ile place wanaskia kuna bypass. so tunanunua plot ile bei ishakua adjusted. so plot worth 100k sa ii tunainunua 1m, of which ingekua worth one 1m io bypass ikishajengwa, si sa ii
Explaining to low IQ bonobos what buying an asset at its “future value” is, is a waste of my time. Tumieni google sasa because any further explanation itabidi nimuitishe school fees. Na mtu analeta argument ya stamp duty :D:D…hawa ndio watu tunategemea Kenya. We are screwed.
Would I be wrong to call you a retard for every item ushawahi gongwa bei? So, you have never overpaid for anything…meffi
@pamba your pops bought land at 100k na sasa ni mirrions. But he bought at the current value hiyo time, not future value (hakugongwa bei). If he had bought that land at its future value, angenunua mirrions at that time so hangemake pesa. Have I made myself clear?
What the OP is trying to say is that the price of land near proposed government projects is so inflated that those parcels wont offer the buyers any meaningful upside for a long time. Basically, watu wanagongwa bei. People are forking out money at a price that approaches what the parcels will cost when the projects are implemented fully, if they ever will.
Yep, i was expecting this comment.
Bro, i can gurantee wewe haujawai nunu shamba mpaka you are making up unbelievable bullshit stories to suit a wrong narrative… sometimes its ok to watch and learn.
Leo seller akitaka kukuuzia 50*100 at an overly exaggerated price atakuuzia tu. Stamp duty means shit. Anyway, my title deeds say otherwise. Most of the time people don’t pay what the valuation reads. Lastly, valuation ya gava inaweza kuwa future valuation pia, so it is useless too.
Kwani alinunua shamba kama nguo Gikomba?
Your bro " hii ni how much?"
Seller “3 million”
Your bro “nifungie acre moja na robo”
No valuation, no lawyers, no common sense
Watu hugongwa bei ya shamba, yes or no??
:D:D… He is always making up stories usimchukulie kwa uzito.
Yep, watu wajinga “kama brother yako”
- If an area is generally overpriced, valuation haitakusaidia, because it only says what people are generally buying land for in that area, and if they are overpaying, you will also overpay. Valuation only helps you from overpaying compared to what your neighbor paid recently for his lot. If many people overpaid, valuation is useless.
- Endeni msome juu ya future value of an asset and how markets work. Then come back and have an intelligent argument.
- @Randy and @Sambamba. My bro is not alone. Most people in that area bought the land in 2014-2015 at the current prices. Valuation haingewasaidia anyway. So, most buyers who bought during that period, in that area, overpaid and they are realizing it now. Simply put, they paid 2019 prices, in 2014-2015. They bought at future prices.
We know all those semantics. Swali ni. If you go to Jamhuri Park to buy a premio and you find people paying 10 million shillings for the car, would you still go ahead and buy one for 10 million just because others wamegongwa?
in simple terms, the current value of land near proposed government projects is bound to stagnate until completion of the projects, regardless of how long the proposed projects take to be materialized.
You are basically supporting the OP by asking this question. That is exactly what people buying inflated plots near “by-passes” are doing today. Which they shouldn’t. Remember, I came to explain what the OP meant by paying “future prices”. A premio is a bad example because it is a depreciating asset.
Let me give you a better example. Assume a premio is an appreciating asset, for simplicity (it actually isn’t). There are 30 premios in Jamhuri Park selling at 10 million each. Valuers will value premios at Jamhuri Park at 10 million, because the last 50 premios sold at that price range in Jamhuri Park. So, valuers wouldn’t add any value to the buyer because they input figures based on last traded prices. The reality is that a premio, after appreciation, will cost 10 million in 2030. So, any buyer who bought in 2019 at 10 million will have to wait till 2030 just to break even, because he paid 2030 prices in 2019.
Consider this: If valuers were correct always, there would never be real estate bubbles anywhere in the world because nobody would ever overpay. Land valuers don’t tell you the value of land, they tell you the price of what people are buying land for in that area. Price and value are two different things.
If you buy overpriced land knowingly you is stupid. Due diligence means you cover all the bases.
Valuation cannot be wished away…
Valuers are useless in a region where land is generally overpriced. A valuer only tells you what your neighbors paid for their land recently. A valuer tells you the fair price to pay, RELATIVE TO WHAT OTHERS PAID IN YOUR AREA. They don’t tell you the actual value of your land. If most of your neighbors overpaid, a valuer won’t save you from overpaying because he will use figures from THEIR recent transactions.
These two cannot mean the same thing, buying stuff at a premium is akin to gambling hoping the returns or satisfaction is worth the extra splurge while at a “future price” indicates you are giving the buyer a guarantee that hio ndio itakua bei in whatever duration you are referring to.
Unajua kitu inaitwa muktadha?
@Randy and @Sambamba . I would like to explain further why valuers cannot save you from exaggerated prices, especially if the prices are exaggerated in a large area e.g a sub-county. Below is an example in one of Sambamba’s comments on a certain thread.
[ATTACH=full]252809[/ATTACH]
Let’s assume the information Sambamba provided here is accurate. Land in Wendani and in Utawala has the same value (same returns). However, the land goes at different prices. Value is not the same as price. A valuer will not prevent a buyer from purchasing land in Kahawa Wendani at 15 million, simply because most plots have been going for that rate in the recent past. This is a perfect example that shows you how valuers can’t save you from buying in an overpriced market i.e Kahawa Wendani.
A valuer only helps you not to overpay compared to your neighbor. He can’t save you if all your neighbors overpaid. I think I have explained enough.
wachana na mason, tuseme a land selling company ina sell land na bei fulani, valuer ni WA nini!,ni either you buy or you walk