The Top 4 Best Real Estates Investments for Kenyans in Diaspora
Investing in real estate is one of the best decisions that one can make. However, the decision may not be as easy as many real estate investment options exist in Kenya. Choosing one that will fully suit your needs isn’t a walk in the park, more so for investors living abroad.
We understand that conmanship is very high in the sector thus, you may be hesitant to take the bold investment step. However, there are ways you can go about real estate investments and succeed with minimal supervision.
Are you in the diaspora, and you are eyeing real estate investment? Keep reading this article as we dive into Kenya’s top four best investments.
Residential Real Estate
Recently, residential real estate investment has become the most preferred in the country. The best part about it is that it’s broad and boasts single or multi-family properties, vacation homes duplexes, among others.
One of the reasons why residential real estate is the best is because it brings profit returns consistently. Of course, the market has different competition levels, so you need to be keen when choosing the right strategy. Buying and holding properties would be the best option in this investment category to generate rental income consistently.
However, everything in residential real estate investment lies in management. If you manage the properties well, you will enjoy attractive yields.
Raw Land Investment and Construction.
This type of real estate investment is diverse, but not many people are informed about it, so it could work to your advantage. Raw land is any vacant land available for buying, and it’s primarily common in areas with a high growth projection. On the other hand, New Construction is where a property has already been built on a piece of land. Growing markets in Kenya have registered an increase in new construction investment.
As an investor, you stand to make good returns from these investments whether you want to develop a property from scratch or benefit from buy and hold. However, the raw land and new construction investments require extensive research for maximum profits. You should also choose a desirable location.
Commercial Real Estate.
Investors have a variety of options in the commercial real estate investment category. Due to its high cash flow potential, it is one of the most preferred investments in Kenya. You can invest in offices, hospitality, retail or industrial projects in this category. If you have an eye for improving the community, consider commercial real estate investment.
As a commercial investor, you will enjoy longer leases, high-income potential, and lower vacancy rates in your properties, unlike in other real estate investments. You also have less competition in this category because buying these properties is not easy.
Crowdfunding is raising money for real estate acquisition, mainly on the Internet. In this category, investors are given access to assets that boast high returns and are primarily for the wealthy class in Kenya, thanks to their high net worth. However, this is a risky real estate investment, although you can find assets easily.
The crowdfunding platforms can be broken into two categories; REITS or non-traded REITS that aren’t in the stock exchange market. If you opt for non-traded REITs, you may have to invest your funds for many years without withdrawing, even when needed.
Investors in crowdfunding platforms also enjoy broadened portfolios and tax incentives and are not limited by age or investment interests.
The above are the top best real estate investment options that you can consider in Kenya. However, your choice will depend on your investment strategy, goals, and market area. It is important not to underestimate your choice of location for whatever investment category you choose. Additionally, don’t ignore your investment preferences when investing.
As you decide on your investment option, consider your risk tolerance, involvement level, and profitability. You may wonder if investing in more than one of the above real estate investment options is possible. You can invest in as many as you want and scale up your profits. Take advantage of diaspora banking to be funded to invest in Plots for Sale in Nairobi.
Distance should not be a hindrance when investing back at home for the Kenya diaspora news. With proper research and information, do not hesitate to dive into real estate investment. Decide and become wealthy while away from home.