Ndindi Nyoro is one of the smartest guys we have in terms of finance here in Kenya. He said something that really stuck with me.
โIf a bank gives you a Ksh 10M loan, are you buying land, building rentals, or investing?โ
He says a smart move is investing first.
Put the money in low risk options like Treasury bonds. At around 13% yearly, thatโs about Ksh 1.3M.
Use part of the returns to repay the loan.
Use the rest to support your life.
Your money is working for you while you still own the asset.
Land appreciation takes time , Rentals take effort, repairs, and patience and the ROI is not always worth the stress.
There are also higher risk higher rewards options like stocks and crypto, but the key lesson is simple:
Donโt rush to lock money in assets that donโt move , Learn how money works before you spend it.