Unlocking Kenya’s real estate wealth using equity, mortgages, Reits

Reits allow individuals or companies to pool funds to invest in real estate.

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When you buy or build a four-bedroom villa in a place that has yet to develop, it is a no-brainer that after four to five years, the population will grow, and more structures will emerge in the area. Assuming the property was valued Sh30 million at the time of purchase or construction, you can make between 20 percent and 30 percent when you sell it after five years.

This is why it is better to buy early, or build early, and wait for the value to go up – but, even then, that is easier said than done. One of the arrangements that ought to give investors food for thought, and one that will ensure increased opportunities in real estate business is equity release schemes. 

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Note: The results are not exact but very close to the actual.