Explore the Top 7 Reasons to Buy a House vs Building: Why Opting to Buy is the Smart Choice
As more people move to live, work, and study in major towns across Kenya, the demand for residential properties is skyrocketing. While renting is often a reasonable alternative, most Kenyans are opting to buy a house.
There are several benefits associated with building your home back in the village, like having extra space for the grandkids. However, buying a readymade home seems to be a better alternative because of the following reasons:
1. You Can Find a House in Exclusive Neighborhoods
Before building a house, you must identify and purchase a piece of land. But as the demand for this non-renewable resource soars across the country, you’ll be hard-pressed to find cheap land near major towns. That is why many people choose to build their houses in rural areas.
On the other hand, you can purchase a house in any major town in Kenya. Kenya has a growing urban population, and real estate developers are putting up developed properties to cater to this market. As such, you can acquire a bungalow, maisonette, or townhouse wherever you’d wish to settle. Some options, like apartments, are slightly affordable because they do not include the cost of owning land.
2. You Can Buy a House That Is Furnished
There is a wide variety of houses on sale in Kenya. Some properties are furnished, whereas others are not. Typically, furnished homes cost slightly more because of the added items. However, such options can save you the hassle of shopping for interior fittings, seats, and appliances. Moreover, if you are moving into a new town for work-related purposes, a furnished home is ideal.
3. Guaranteed Privacy and Security
While living in a rented house is cheaper, you usually have to compromise your privacy. Typically, you may have to share the limited amenities with other tenants. Also, since the living spaces are divided by a wall, you’ll often have to put up with noisy neighbors.
On the other hand, maisonettes, bungalows, and some townhouses include a fairly sized compound and a perimeter wall. These features guarantee your family a degree of privacy. Moreover, you can install various security features inside the plot, like an alarm system, a guard dog, and CCTV, without seeking permission from the landlord.
4. It Takes a Shorter Time to Own a Home
Building your house is often a journey that may take several years before competing. Most potential homeowners contend with the longer duration because they lack enough funds. However, even if you have the total amount required to complete the project, construction takes a lot of time.
If you have landed a job in a new town, you won’t have the luxury of waiting at least six months for your house to be complete. In such a case, you are better off buying a readymade home.
Generally, you won’t need to look for land, buy building materials, and supervise a project if you choose to buy a house. Once you’ve identified your desired home, you can complete the buying process and move your belongings in under a month.
5. Improved Credit Rating via Mortgage
There are different ways to finance the purchase of a house. While most people will have adequate capital to buy a home, you can still take up credit to facilitate the project through a mortgage.
Usually, you’d need to prove that you have an adequate and reliable cash flow to cater to the repayment program. If you successfully clear the mortgage, your credit rating will be boosted. You can then decide to bump your investment portfolio since you qualify for more credit.
6. Buying a House Is Relatively Cheaper
As mentioned before, buying a house is an extended process that starts with you acquiring land. Conversely, you can buy a home without needing to own land. Generally, it is cheaper to buy an apartment in a major town because the cost of land is not added to the final purchase price.
Also, a maisonette in town can end up costing way less than a similarly sized bungalow in a satellite town. This is because the maisonette will be built in a small 50 by 100 plot and utilize the space above ground for additional rooms. On the other hand, a bungalow needs a larger piece of land as it only has a single floor.
7. The Value Is Always Rising
Many investors swear by land as a foolproof means of gaining wealth because it is a non-renewable resource. As such, your newly-purchased home, if kept in good condition, is an appreciating asset. The value of the house can be significant if it is in a major town like Nairobi
You can buy a house and transform it into a source of income if you decide to rent it out. Also, you can convert it into an Airbnb and capitalize on travelers looking for short-term housing.
You can also use the house as collateral and finance the purchase of another asset. Finally, once the value of the house reaches its peak, you can sell it, recoup your investment and enjoy the profits.
The Downsides of Buying a House
The major disadvantage associated with buying a house is that you don’t get to decide how the house will look like. And even if you choose to change the interior design to suit your preference, it is often an expensive affair.
Additionally, you might have to compromise on some aspects of the house. For instance, you might buy a house that is perfectly designed but in a rough neighborhood. On the other hand, you might find a lackluster home in a desirable estate.
If you find a house that had one or two previous owners, you’ll have to spend extra on repairs. Ideally, you must inspect the home before inking the purchase deal to avoid losing money or your property altogether.
The Takeaway
If you want to live in a major city or quickly access it, you should definitely buy a house. You can get a decently-sized home with a compound for the kids to play on. Also, you get maximum value for your money since you’ll enjoy all the amenities of urban living while living like a king.
