The best asset against inflation
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Prince of HS
VIP
100%. buying and holding on to land long term is not only the best but my favourite investment. I like tangible assets compared to intangible assets
its also not as affected by inflation compared to other investment such as the stock market
its also not as affected by inflation compared to other investment such as the stock market
Where are you buying?
Prince of HS
VIP
in and around banadir, farms in jowhar, and a few plots i bought with a friend in hargeisa
No offence but im not buying in hargeisa-mogadishu, prices for land exceed it's true value when u factor inflation 5% a year. It shud be worth 20k for small land plot not 100k due to diaspora pressure, your over-paying by a great margin, plus diaspora pressure will cool down as new generation r not going to Somalia which is going to send their land values down, it's not a good long-term investment when u factor those variables.
Im buying in the 'capitals' of regional govt(gm, hs, pl, jl) as prices still reflect their true value and growth is happening relative to proper inflation not diaspora. PL is definitely my go-getter due to 'roads' being created is going to shoot up price relative to infrastructure. Those lands in hamar-hargeisa no infrastructure, ur simply buying diaspora valuation not the true valuation indexes meaning long-term losses
Im buying in the 'capitals' of regional govt(gm, hs, pl, jl) as prices still reflect their true value and growth is happening relative to proper inflation not diaspora. PL is definitely my go-getter due to 'roads' being created is going to shoot up price relative to infrastructure. Those lands in hamar-hargeisa no infrastructure, ur simply buying diaspora valuation not the true valuation indexes meaning long-term losses
@Calaami Land is only good when it's located with infrastructure, the infrastructure and amneties(schools, hospitals, markets, etc) u must keep as close to possible using that radius, the further u go out from that radius, the land value will not climb and if it does due to diaspora pressure, u will need to pray diaspora flow never ends to keep it at that price which is irrational. So u essentially bought it for 100k due diaspora inflation, but in 30 years, it may be worth 20% in value as the diaspora pressure ends and land goes back to real index valuation(radius system), u would've lost a great chunk of ur capital.
How does buying land even work in somalia? Can a Darood buy land in HS and can a Hawiye buy land in PL? Always wondered about that
There is no barriers business or even social movement due to the 'aarsi' principle well known socially, just lots of clan competition over politics
@Superiorabdi im suprised they don't put clan marker on shabab members, it will destroy their recruitment overnight.
Property is better since you can transform it into various functions, not with land.
Prices in our towns are no better, they are extortionate. I am waiting on the next financial crisis, may Allah forgive me.
Most assets are somewhat susceptible to inflation. Land and property investments are much different in a developed vs developing nation like the Uk and somalia. There are many risk variables one has to look for in somalia. I’ve even heard stories of cousins stealing each others land so nothings safe there
. Furthermore the constant threat of conflict, as we’ve seen in recent times, can contribute to the sudden decrease in demand thus depreciating value. Whereas the Uk is safe and has a secure economy, which attracts businessmen from all around the world to invest in business and property, further strengthening the economy. There’s a reason Arabian billionaires pour so much money into London every year. In my opinion assets which hold intrinsic value like gold, silver or livestock are usually resistant inflation and can even act as a store of value during these times and has been used for thousands of years. It’s the safest asset hands down. Those are the ones I can remember of the top of my head, inform me if there’s others. So buy gold if you wish to maintain wealth, whereas if you wish to invest to make money there’s probably better ventures then real estate in this day and age.
. Furthermore the constant threat of conflict, as we’ve seen in recent times, can contribute to the sudden decrease in demand thus depreciating value. Whereas the Uk is safe and has a secure economy, which attracts businessmen from all around the world to invest in business and property, further strengthening the economy. There’s a reason Arabian billionaires pour so much money into London every year. In my opinion assets which hold intrinsic value like gold, silver or livestock are usually resistant inflation and can even act as a store of value during these times and has been used for thousands of years. It’s the safest asset hands down. Those are the ones I can remember of the top of my head, inform me if there’s others. So buy gold if you wish to maintain wealth, whereas if you wish to invest to make money there’s probably better ventures then real estate in this day and age.Ehhhhhh, land is iffy, you are susceptible to randos squatting in your land claiming it’s theirs and making fake papers, especially if your diaspora, I heard of someone who came back to do something with his land after twenty years and there were people living there that long and caused a dispute saying it’s theirs, it even escalated to gunshots.
basically don’t just buy land and forget about it, do something with it or have someone check it frequently
basically don’t just buy land and forget about it, do something with it or have someone check it frequently
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