This was started by an interesting post by Pathy https://x.com/PathyKlinn/status/1946892296584134816 image below for posterity

There was a follow-up response by Alex Kakande, Renting vs. Buying: Are You Making the Right Choice or Just Following the Crowd?

My advice for young couples was https://x.com/ssmusoke/status/1947162009688015330 was to purchase a larger plot of land instead of a 50’x100’ plot far in the mentioned area and to dispell some myths of distance from the CBD. It is difficult to break this down on X, so I thought it would be a worthwhile blog post.

My advice is to:

1. Invest any savings you have into bonds/trusts in order to build an income stream to support land purchase and building your own home
2. Rent in the mean time as you manage your land purchase and home building. Rent strategically too - I spent 10 years in Kamwokya, working on Acacia avenue with my children going to Kampala Parents, so we only needed one car and much later in the game.
3. Buy strategically rather than opportunistically - find a location that works for you with regards to community, affordability (this will push you farther out, but will pay off in the long term), your desired social services - hospitals, schools, sports grounds. The common approach is to buy 50’x100’ plots in “planned estates”, however the math has shown that the cost of a plot in a planned estate is the cost of over 0.5 acre in the same area outside the estate so you can end up with 3x to 8x the value by going off the beaten path
4. Build vs buy a house - then you are responsible for the quality that you receive. House construction is a science and an art, with lots of vendor management, which many people find to be a mentally, physically, emotionally, finanically and spiritually draining exercise. I provided some tips in this post Additional Advice for Avoiding Costly Mistakes During Home Construction
5. If you do not need to build a house/home, then do not, invest in bonds/treasury bills/unit trusts and build up a war chest, then rent for as long as you need to. Remember to also be practical and pragmatic about your renting so that you are not wasting your financial opportunities

From my experience the following myths/assumptions have to be dispelled:

1. Funding for land purchase/home construction majority do not have these funds readily available, thus when the opportunity arises, many will get a payment plan, borrow - from banks, family, friends, SACCOs, sell something or even take up a side hustle for the duration of the purchase. Planning on these funds as savings does not make sense since they are not available in cash for the maths/numbers
2. Distance of travel to and from work plus school runs - this is probably inevitable that you will have to go through some hard times, in order to make work and life blend, but you can figure it out. I have a couple of friends who moved back close to the city because they could not manage the daily commute from their home, a lovely place though, however they do come back on weekends to recharge. Nothing is ever easy
3. House construction, home building leads to waster - there is always a need to cut your coat according to your cloth, some go for palatial dream homes, instead of functional places that fit into their needs. The social pressure to keep up with the Joneses is a key point in here. Also there is a desire to complete the house before moving in, my experience has taught me that finishing is best done as you experience the home. You will need to make some changes after
4. Homes are for status - there is a social construct for having a base of family operations, a space to call your own on earth which will not be taken away from the family when everything else falls apart (Murphy’s law - if anything can go wrong it will and usually does). On a more positive note, a home is a place where you can also launch your own cottage business, build memories with children and a place to gather family when the world rocks them.

The following are practical considerations that need to be tackled too:

1. Operational aspects including proximity to health facilties, schools, religious places, sports facilities and distance from your workplace.
   • The distance from the workplace is a strange metric given that you may change employers or they may move premises, so I encourage ignoring this particular aspect.
   • Type of work - some careers require one to be early to work and maybe stay late, the key here is to think ahead 5-10 years will you be in the same role, may even be a driver for career progression and change
   • For schools - it is a difficult choice, you need to pick the closest most practical school to reduce commute times and reduce the school pickup/drop off burdens especially during primary school. With new options like primary boarding schools that allow parents to have children over the weekends, this can help decision making.
   • Transportation - the further off you are from the main travel routes the more expensive/time consuming our public transportation can be, thus this needs to be planned ahead for your move into your home. IMO it should not be a factor in where you choose to buy if its strategic, because by the time you finish construction in 5-10 years your circumstances will have changed (The only way to predict the future is to create it)
2. Land size - many go for 50’x100’ plots claiming that is all they need, experience has shown that the minimum space needed to live comfortably is at least half an acre.
   • This provides space for some trees, a compound, maybe keep some plants and animals, and possibly carry out home based cottage industry activites.
   • The pull to be able to work from home starts with being able to cater for nutrition, hobbies and bonding activities for children and the extended family as may be needed
3. Leverage your existing circumstances and make career/work selections that benefit your needs. What does your employer offer which you can leverage, salary loans, mortgages, office car - so you do not need to buy one just yet, education subsidies - for your children and career growth, etc etc.
4. Adapt to changes in your environment and life - sell that plot you have if it no longer works for you, in the middle of construction and have an opportunity for better - sell it off, do not be beholden until you move in, even when you do - if you get a good offer, liquidate and move forward. The key is to have options that you can use and leverage
5. Do not be discouraged by discomfort or some extra work that needs to be put in, it will pay off - even if it does not, you will pick up something new along the way.

Would love to hear your thoughts and inputs on this very interesting topic