Guitarlife:
Please I need some clarification, what is the implicatiom of stop rate. I have some money that I intend to put in TB. For 1 month now FCMB has not been able to get me 363 days tenor so I ask, is it a message ?

I am presently embarking on a building project, should I go ahead and divert the money to the building project or invest in TB ? Which do you all tjink is more profitable decision.

Cement is presently 2,550 what if the price comes down ?

It will be painful if the price comes down and I had bought for housing project at this price. So essentially from the data available and analysis, would you advise me to invest the money in the project or rather invest in TB.

Make experts too look my side na

emmanuelewumi:


Why is he selling? What is the current rental income generated by the property? Where is the location of the property? What type of property? Is it residential, commercial, shopping complex, hotel, event center or multi purpose? Are you sure your friend didn't over pay for the property?

he started building in 2010 with a capital of 15 m naira ,he build to sell at almost 75 percent profit some time and he can sell twice in a year ,he currently has investment in two house wort 110m he sold one for 70 m which was built for 48 m but this one remain unsold for two years

V

Alikote:
he started building in 2010 with a capital of 15 m naira ,he build to sell at almost 75 percent profit some time and he can sell twice in a year ,he currently has investment in two house wort 110m he sold one for 70 m which was built for 48 m but this one remain unsold for two years

Most properties in Nigeria are over priced, most investors over pay for houses that is why some smart guys are making a kill from the sector. The recession and the war against corruption put a glut in that sector.

A whole UAC property plc made a loss last year. I can't buy the property you posted for N45 million, the investor will still spend money to make the house liveable.

How much rent can he generate from this property.

He should have invested the money, building students hostels in a University town.

Guitarlife:


Make experts too look my side na

I hope we are not derailing this thread, but I think we should keep our options open.

What type of house are you looking at? What is the estimated cost of building this house? What is the location of this property? Your response to these questions will determine my answers.

emmanuelewumi:
V

Most properties in Nigeria are over priced, most investors over pay for houses that is why some smart guys are making a kill from the sector. The recession and the war against corruption put a glut in that sector.

A whole UAC property plc made a loss last year. I can't by the property you posted for N45 million, the investor will still spend money to make the house liveable.

How much rent can he generate from this property.

He should have invested the money building students hostels in a University town.

max 2.5 m annually ..the land around 10m

Alikote:
max 2.5 m annually ..the land around 10m

I value real estate by multiplying the rental income by between 15 and 20. The max for this property is N50 million, provided the potential is there for the rent to increase.

One good thing about real estate is the in-built mechanism to enjoy an increasing income.
My father had tenants who paid less than N600 per annum for his apartments in 1984, current tenants are paying 600k per annum for the same apartment.

Alikote:
my friend that refuse to invest in tb and build a house for 50 m and place it for sale @ 70 m has not been able to sell for 2 year now even at 55 m no buyer ....during the boom he built houses for 35 m and sold some for 55 m

Investors are becoming wise and shrewd.

emmanuelewumi:


I hope we are not derailing this thread, but I think we should keep our options open.

What type of house are you looking at? What is the estimated cost of building this house? What is the location of this property? Your response to these questions will determine my answers.

Its a residential structure in Ibadan Oyo State. A storey buildig with two 2 bed room flats below and one 4 bedroom apartment above.

Its in a local residential area rents on those 2 bedroom can not be nore than 200k per year as at now

Guitarlife:

Its a residential structure in Ibadan Oyo State. A storey buildig with two 2 bed room flats below and one 4 bedroom apartment above.

Its in a local residential area rents on those 2 bedroom can not be nore than 200k per year as at now

With my limited experience, although I don't have the diagram you will need between N12 million to N15 million to build the house depending on finishing and your taste.

The fund at your disposal will determine if you can continue with the project or you carry out the project in phases.
But I will not advice to invest all your resources on a house, we have a lot of cash poor landlords.

emmanuelewumi:



With my limited experience, although I don't have the diagram you will need between N12 million to N15 million to build the house depending on finishing and your taste.

The fund at your disposal will determine if you can continue with the project or you carry out the project in phases.
But I will not advice to invest all your resources on a house, we have a lot of cash poor landlords.

The project is presently at decking level. I just finished lintel and added 2 coaches. I have floored the house too so they can support the wood for decking.

A lot of money was spent on reinforcing the pillars to support a decking but am presently thinking of roofing at this stage which will leave me with two 2 bedroom flats. I have done the soak away too and I have a well too.
The house is fenced and gated.

Would you advise i roof now or deck or invest in treasury bill ?

I am 30 years old and presently work in one of the financial institutions.
A job that is not assured due to the high turn over in the industry.

emmanuelewumi:


I value real estate by multiplying the rental income by between 15 and 20. The max for this property is N50 million, provided the potential is there for the rent to increase.

One good thing about real estate is the in-built mechanism to enjoy an increasing income.
My father had tenants who paid less than N600 per annum for his apartments in 1984, current tenants are paying 600k per annum for the same apartment.

who are a guru we buy property on a max of total rent for 20 year max ....some time a shopping complex pay up in 12 years

Guitarlife:


The project is presently at decking level. I just finished lintel and added 2 coaches. I have floored the house too so they can support the wood for decking.

A lot of money was spent on reinforcing the pillars to support a decking but am presently thinking of roofing at this stage which will leave me with two 2 bedroom flats. I have done the soak away too and I have a well too.
The house is fenced and gated.

Would you advise i roof now or deck or invest in treasury bill ?

I am 30 years old and presently work in one of the financial institutions.
A job that is not assured due to the high turn over in the industry.

It depends on the fund at your disposal. We have a lot of abandoned properties, because the investors didn't consider the cost before building. From my experience in Lagos, although things could be cheaper in Ibadan you may need close to N2 million for the decking.

As a 30 years old man, liquid cash or near liquid investments have their own role . I will advice you to roof the building, budget max of N7 million for this project.

When the area develops and and your other investments are generating income you can decide to expand and redevelop the building.


It all depends on the fund at your disposal?

Please advice needed...

My TB matures in a few days and I'm thinking..
Should I reinvest for 182 days and see how the rates fair over the next 6 months considering factors like oil price that currently dropped, upcoming election campaigns etc OR should I just lock down the funds for another 364 days and take my bulk interest?

I came here to check if the Auction was successful or not and all I can see is property pricing and housing and the culprits are still saying they hope they are not derailing the thread!!! This is totally unacceptable... That's why Nairaland has different sections. Please you people should carry yourselves and go to the appropriate section. Thank you #Vexed!!!

Guitarlife:


The project is presently at decking level. I just finished lintel and added 2 coaches. I have floored the house too so they can support the wood for decking.

A lot of money was spent on reinforcing the pillars to support a decking but am presently thinking of roofing at this stage which will leave me with two 2 bedroom flats. I have done the soak away too and I have a well too.
The house is fenced and gated.

Would you advise i roof now or deck or invest in treasury bill ?

I am 30 years old and presently work in one of the financial institutions.
A job that is not assured due to the high turn over in the industry.

If you use asbestos, the roofing may cost about 600k while aluminum may cost roughly N1 million.

Just try and be smart, don't be a cash poor landlord. If not when the unexpected happens one may be forced to sell at a loss. God forbid.

anitank:
Please advice needed...

My TB matures in a few days and I'm thinking..
Should I reinvest for 182 days and see how the rates fair over the next 6 months considering factors like oil price that currently dropped, upcoming election campaigns etc OR should I just lock down the funds for another 364 days and take my bulk interest?

Please reinvest, while offers last.

emmanuelewumi:


I value real estate by multiplying the rental income by between 15 and 20. The max for this property is N50 million, provided the potential is there for the rent to increase.

One good thing about real estate is the in-built mechanism to enjoy an increasing income.
My father had tenants who paid less than N600 per annum for his apartments in 1984, current tenants are paying 600k per annum for the same apartment.

I like where you said max 50m, well
according to the Lagos state real estate report bt MCO coy. I follow their report few times on a quarterly basis.
Its said that for
residential building in Lagos
Roi is between 5-8%

Now if I am to go buy the yield Mr alikote quoted
(2.5m annually) and going by the average yield in Lagos of 5-8%.
I will say that property should be valued at
31.2m - 50m.
No more No less.

If I can still lay my hand on the PDF, I will post the data reports in lagos

Guitarlife:


The project is presently at decking level. I just finished lintel and added 2 coaches. I have floored the house too so they can support the wood for decking.

A lot of money was spent on reinforcing the pillars to support a decking but am presently thinking of roofing at this stage which will leave me with two 2 bedroom flats. I have done the soak away too and I have a well too.
The house is fenced and gated.

Would you advise i roof now or deck or invest in treasury bill ?

I am 30 years old and presently work in one of the financial institutions.
A job that is not assured due to the high turn over in the industry.

If the house is for rentage.......i will advise you do treasury bills now it is still 15% for 364 days IF YOU DONT HAVE ENOUGH MONEY TO COMPLETE THE HOUSE IN THE NEXT 364DAYS.....most real estates residential rentals is @6% return of investment with stories from tennants .......if you do 15% treasury bills at the current rate is still better......moreover, the cost of building materials is very high now......

For me all my commercial buildings will start when trasury bills ROI is less than 10%....

lilee2hot:
I came here to check if the Auction was successful or not and all I can see is property pricing and housing and the culprits are still saying they hope they are not derailing the thread!!! This is totally unacceptable... That's why Nairaland has different sections. Please you people should carry yourselves and go to the appropriate section. Thank you #Vexed!!!

Rates are seriously tanking, I pray your auction is successfully. But peradventure if it was not successful, make sure first thing on Monday morning try to get from the secondary market.
I have always enjoyed good secondary rates from my bank before 9am on Monday mornings.

Although I am gradually reducing my Treasury Bills portfolio.

My three months TB is expected to mature 2mao.. please from what time should i be expecting alert??

Magnifico2000:
My three months TB is expected to mature 2mao.. please from what time should i be expecting alert??

Between midnight and noon. First bank pays before 9am

ukay2:



If the house is for rentage.......i will advise you do treasury bills now it is still 15% for 364 days IF YOU DONT HAVE ENOUGH MONEY TO COMPLETE THE HOUSE IN THE NEXT 364DAYS.....most real estates residential rentals is @6% return of investment with stories from tennants .......if you do 15% treasury bills at the current rate is still better......moreover, the cost of building materials is very high now......

For me all my commercial buildings will start when trasury bills ROE is less than 10%....

You are correct. However, do we knownfor sure if indeed the price will come down ?

What if prices of buildung materials keep rising ?

Guitarlife:

You are correct. However, do we knownfor sure if indeed the price will come down ?

What if prices of buildung materials keep rising ?

Prices of cement may not rise, I have holdings in both Dangcem and Lafarge and both companies are increasing production capacity this should make prices to be stable or even fall. But prices of other building materials may go up..

lilee2hot:
I came here to check if the Auction was successful or not and all I can see is property pricing and housing and the culprits are still saying they hope they are not derailing the thread!!! This is totally unacceptable... That's why Nairaland has different sections. Please you people should carry yourselves and go to the appropriate section. Thank you #Vexed!!!

Madam....no vex say i quote u....u for ask question to know people in this forum first...

...if u know who pa emmanuelwumi be for investment forum.....you go de happy to learn from him....i am even so happy his taking his time to comment in this forum....educating us on various investment opportunities.....I HAVE LEARNT A LOT FROM PAPA EMMMA..OOOH..

A beg Pa emma no vex for the young members in this forum....dem no know u.......we that know u value , read and STUDY all your posts with serious attention......abeg continue to post here for me in particular...Thank you.

emmanuelewumi:


Prices of cement may not rise, I have holdings in both Dangcem and Lafarge and both companies are increasing production capacity this should make prices to be stable or even fall. But prices of other building materials may go up..

Please u guys are derailing this beautiful thread.....U guys should stop it already.....We dont like it ......U can pm urselves or create a thread 4 wateva.....U can do better!!!!

emmanuelewumi:



Rates are seriously tanking, I pray your auction is successfully. But peradventure if it was not successful, make sure first thing on Monday morning try to get from the secondary market.
I have always enjoyed good secondary rates from my bank before 9am on Monday mornings.

Although I am gradually reducing my Treasury Bills portfolio.

Please which bank

Thisandthat:


Please u guys are derailing this beautiful thread.....U guys should stop it already.....We dont like it ......U can pm urselves or create a thread 4 wateva.....U can do better!!!!

mr man we are here to learn as investors learn to be flexible

Guitarlife:

You are correct. However, do we knownfor sure if indeed the price will come down ?

What if prices of buildung materials keep rising ?

It may come down or may not...i cant say....

....my friend built 24 flats 4 years ago and cement was N1,450 per bag today its N2,500 and 12mm rods was N1,250 now N2,500.....

But for me....I will advise u do trasury bills now at 15% rate if you dont have money to complete it in 364days....to begin enjoying Rental rate of 6%......remember your house may need maintenance oooh....after building......dont forget to ensure your commercial properties against fire and other perils

Alikote:
mr man we are here to learn as investors learn to be flexible

What is there if they start a new thread and post the link and those interested can equally follow since its getin very interestn.....Pls let us respect ourselves...Im female

Guitarlife:

You are correct. However, do we known for sure if indeed the price will come down ?

What if prices of building materials keep rising ?

Prices of building materials will forever go up
Nigeria pricing of goods is forward ever, backward never.

If you can secure a piece of land, pls do.
anything for diversification.
Nigeria is coming out of recession gradually, soon money will start greasing every ones palms like it was during Gej era.
Moreso we are approaching the election period, money will soon start exchanging hands,lol

If you buy now to sell later, cool.
The middle class are richer in a time of boom. The recession period is the best time to Buy lands because the bad state of the economy will make land sellers lower greatly their prices.

All the same, don't forget tbills for its steady flow of income, except you have a better cashflow alternative!

ps;: Average Price of land in naira per square meter in Lagos island areas

I

Kemade2007:


Please which bank

First Bank of cause. My late grand parents used first bank, my parents use First bank, my wife and I use First Bank and I have opened first bank accounts for my children .

I also use UBA and Access Bank, but I don't use them for Treasury Bills

Thisandthat:

What is there if they start a new thread and post the link and those interested can equally follow since its getin very interestn.....Pls let us respect ourselves...Im female

no wonder ...we will not start a new one what contribution have u made to the thread ,or u think seun pay op to post information on tb for your free reading ,the main group is investment section ....u can choose to ignore