{UAH} Is Property in Uganda worth their price tags?

Is Property in Uganda worth their price tags?

Copied from Edris Kiggundu and edited to suit the discussion on MFH

Yesterday my friend Denis Jjuuko, posted something.He wondered why it is cheaper to buy a house in California, USA than to buy a PLOT of land in Kololo or Munyonyo

I grew up in Ntinda-Kigowa from the late 1980s till 2004 when I left home to start my life. My father bought that piece of land (roughly half an acre) in the early 80s when I had just been born. Even when it was located in a prime place (just below Kalinabiri Schools) and serviced by a tarmac road, it did not cost him more than Shs 5 million (using today's monetary value). Until about 2009, there was still an empty plot not far away from Mzee's land. It was small (roughly 50 ft by 70 ft) and belonged to someone who had decided to relocate overseas.The plot was eventually snapped up by a prominent personality who I was told paid a cool Shs 900 million for that small strip of land. He has since put up a nice block of apartments (six in total) but you can hardly park two cars in the compound. I remember telling Mzee that I thought the figure (Shs 900 million) was very inflated. He asked me what the value should have been. I told him not more than Shs 150 million.

"But this is Nitinda," he retorted. "Not Kiwatule or Najjera."

I thought to myself: What is so magical about Ntinda?

Nothing apart from the historical name and presumed close proximity to the city (which is also cancelled out by the nasty traffic jam).While Ntinda is fairly better planned than so many up coming suburbs, it still has potholed, narrow access roads. There are pockets of insecurity and congestion has set in as offices set up shop there. Yet you constantly hear that newly built houses in Ntinda are going for $1 million and wonder the justification for the prices.

When we went to Ntinda in 1987, Most of Naguru was a big bush and was sparsely populated. Land there was cheaper than Ntinda.
Naguru is now considered very prime and you hear plots of land going for $2 million. You would be lucky to find one.

Why would I buy an empty plot of land in Naguru for $ 2 million (minus the costs of grading it) and yet for the same money, I could buy four fully furnished two-bedroom apartments in Dubai ( each at $500,000) and start earning from them immediately?

Would you rather buy the house in the potholed Bunga for $1 million or use that money to buy at least two three bedroomed fully furnished houses in Palm Jumeirah?  

--

"When a man is stung by a bee, he doesn't set off to destroy all beehives"

--
Disclaimer:Everyone posting to this Forum bears the sole responsibility for any legal consequences of his or her postings, and hence statements and facts must be presented responsibly. Your continued membership signifies that you agree to this disclaimer and pledge to abide by our Rules and Guidelines.To unsubscribe from this group, send email to: ugandans-at-heart+unsubscribe@googlegroups.com
---
You received this message because you are subscribed to the Google Groups "Ugandans at Heart (UAH) Community" group.
To unsubscribe from this group and stop receiving emails from it, send an email to ugandans-at-heart+unsubscribe@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/ugandans-at-heart/CAFxDTfqbcBow1pacrNuG5DdqfAVMf4m42%2BLtkmtEyO9a54nLZg%40mail.gmail.com.