House Rentals or Buying a House: Consider the following factors

House Rentals or Buying a House: Consider the following factors

House Rentals or Buying a House are two sides of the housing coin.

At some point in your life, you’re going to decide between renting or owning a house. Depending on your circumstances, renting a house or owning might be the best option for you. Both options offer various advantages and disadvantages. Here are the pros and cons of owning against renting a house:

Pros of renting a house

Flexibility: Renting a house is ideal for people who require a short term living arrangement in a region or country. Renting allows flexibility to move once your payment is up. It’s a good option for students living close to school or people who do not intend staying in a place for too long or would likely move around a lot because of work.

Also, it’s easier to move out at any time when you’re a tenant. You’re not saddled with the responsibility of looking for a new tenant or buyer. That becomes the job of the house owner.

Affordability: Compared to buying a house, renting is pretty affordable. Especially when you’re renting in an area you can’t afford to buy property in. For instance, you could afford to rent in Banana Island although you might not be able to own a house there. Well, depending on why you need to live in a certain location, renting, in this case, is an ideal choice.

Greater financial freedom: As a tenant, once you pay your house rent for a period of a year or a few months, you can invest any additional income into other ventures like investing in the stock market or even saving towards buying your own home.

 

housing-deficit-in-nigeria

LekkiVale Estate features

 

Read more: Don’t buy a House without considering these factors

Cons of renting a home

Bound by agreement: As a tenant, you’re set bound by an agreement to a landlord. The terms of this agreement are should be thoroughly looked into in order to avoid situations where a landlord, for instance, increases rents at the middle of the year without prior notice. Also, depending on your terms of the agreement, you might be restricted when it comes to making changes in the house like repainting or renovating without the consent of the landlord.

No wealth creation opportunity: Renting offers no return on investment, there’s no wealth creation on your part. Other than the service of having a roof over your head, the property remains that of the owners and so, once your rent is up, the house ceases to be yours.

In the same line, while renting a property, you have no control over annual rental fluctuations. The house owner can decide to increase rents due to one reason or the other and you would have no choice but to succumb or look for another alternative.

No guarantees: As a tenant, there’s no guarantee that your lease will be renewed once your rent expires. Unless perhaps you have an agreement with the house owner. The house owner can decide to sell off the property or bring in new tenants. As such, you might be left stranded when your rent is up.

Pros of owning a home

Security: Owning a home gives you a feeling of satisfaction and security. You have one hundred per cent creative rights over your property and can decide to do with it whatever you want without any restrictions placed on you.

Owning a home is an ideal choice for a stable family who aren’t intending to move around any time soon. For instance, a young growing family has the added advantage of settling into a region of their choice, where they can raise their kids and send them to schools around without the fear of losing their home at any time.

Financial freedom: As a homeowner, you can decide to sell your property at any time or use it as collateral for a loan. Owning a home also gives you the added advantage of value appreciation. Owning a house in Lagos, for instance, can give you an ROI of up to 40% in two years depending on the location, allowing you to make a profit should you choose to sell.

The sense of responsibility: Owning a house is one of the common hallmarks of success. There’s a certain level of confidence and fulfillment that comes with owning a home, its overwhelming sense of responsibility flows into every other aspect of your life.

Generational Wealth: Owning a house gives you the opportunity to build generational wealth. A house will likely stay up long after you’ve passed on and could serve as a harbour for wonderful memories for you and your family. The value appreciation on the property can be transferred from one generation to another.

 

Also read: How to effectively transition from renting to owning a house

 

Cons of buying a home

Huge financial commitment: Buying a home requires a huge financial commitment. It might require you to suspend other commitments until the acquisition process is completed. In addition to the acquisition costs, you would require additional funds to maintain a house like renovating, paying for damages, insurance etc.

Mobility restrictions: As a homeowner, you would be more compelled to live in a location longer than you may want to. You might not be able to relocate at will suppose a job opportunity comes up.

The risk of selling at a loss: As a homeowner, you can run the risk of not making any or very little profit through a resale. Instances of this scenario are not common but depending on certain economic factors like a recession or the location your property becoming less desirable could lower the value of your property. Regardless of where you’re in life right now, at some point, you might consider buying a house for yourself or your family.

 

 

At Sevic PDC, we are dedicated to developing comfortable and affordable homes, perfect for you and your family. All our properties are offer premier amenities like:

  • 24/7 electricity supply and treated water supply
  • Completely finished, contemporary apartments.
  • Recreational Park for kids and adults (clubhouse, gym, basketball court)
  • Top notch security and access roads

All our properties have valid documents and are free from litigation issues. Call us today at 0908123456409095757575. Send us an email at info@sevicpdc.com to speak to our real estate investment expert on the best plan that can fit seamlessly into your budget and guidelines into giving you the type of home or real estate investment that you want.

You can also chat with us on WhatsApp: 09095757575 09081234564

Houses for sale: What to consider before buying

Houses for sale: What to consider before buying

The Ultimate Home Buyer’s Checklist

Thinking of buying a home? Your first home perhaps, here are the factors to consider before buying a house for sale.
Buying a house is a big deal but after the initial excitement passes, it might seem a little overwhelming. There are factors you need to take into consideration to ensure you make the best deal available to you. Below is a list of factors you can consider to make your home buying process effortless and exciting.

Find a Real Estate Agent

You’ve probably never considered this but before making a move to buy a house, getting a professional real-estate agent decreases the burden of finding the right house in a favourable location at the right price. Getting an efficient real-estate agent can save you tons of energy and time, which would have been otherwise spent tracking down information.

Even better, you can seek the services of a real-estate company, who owns or market real-estate properties. There are a good number of reputable real-estate firms you can work with here in Lagos.

Here are some tips to help you get started:

  • Choose a real-estate firm that has built a reputable brand name.
  • Choose a real-estate agent or company who’s willing to share all the information you need in detail.
  • Work with a firm or agent you’re comfortable with. Sometimes trusting your guts when it comes to choosing who to work with counts.

 

Read more: Renting versus Owning a Home: Consider the Following Factors

 

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Get Your Finances in Order

One of the main reasons for buying a house is such a huge deal is largely due to the financial commitment required. Once you’ve decided to purchase a house, determine which mode of payment suits your budget. If you’re going for a full down payment (which is typically cheaper comparatively) bargain for the best deal possible.

Find out if there are any other fees required other than the cost stated.
If you’re opting for installment payments, get your account in order and set aside funds for prompt payment.

It’s quite common for people to borrow funds to pay for a house. Before opting for this option ensure you’ve taken into consideration the interest rates and how much the loan actually costs.
Most real estate companies offer flexible payment options for up to 12 months. Seek out options that suit your budget.

 

Also read: Why Real Estate is The Safest Investment Option In Nigeria

 

Determine the type of house you need

Let’s face it when it comes to making home buying decisions; what we want, what we need and what we can afford are three different things. First, identify what you need to make your home comfortable.

Here’s a head start:
  • Constant treated running water
  • Constant power supply
  • Security and access control
  • Proximity to the workplace, hospitals, schools, etc.
  • Is the property on a flood plain?
  • Available rooms

The list varies depending on your specific needs. Answers like, how big your family is, would determine the number of rooms you should be looking for.
Questions like, how long would you like to live in a particular area? What is your necessary level of privacy? Are you buying as a means to invest? All these and more, ensure the house you’re planning to buy has all it needs to become home for you.

 

More related content: Top ways to save and invest in real estate.

 

Title of the property

Make sure the property you’re looking to buy has the appropriate land documents. Ask for copies of the documents from your seller or realtor and make proper inquiries. Needless to say that, you shouldn’t pay for any property in Lagos without verifying the authenticity of its land documents.

 

 

Let’s Get You The Perfect Home

We understand choosing the right home means so much to you. Here’s a house you’ll absolutely love.
LekkiVale Estate located in the heart of the Lekki Peninsula encapsulates all it takes to give you a home. We’ve aligned all the factors necessary to give you the type of comfort and luxurious lifestyle you deserve.
Every aspect of LekkiVale Estate radiates a lifestyle of sheer relaxation and soft elegance, well deserving for you. From the designed buildings to our unmatched amenities offering:
• A central connection of treated running water
• 24 hours centrally generated power supply
• Well paved roads and covered drainage
• Top notch 24 hours security and access control
• Sewage treatment
• Ample parking lot
• Green areas and Kids Park
• Swimming pool
• Clubhouse

For more detailed information about getting the best real-estate deals in Lagos, call us today at 0908123456409095757575. Send us an email at info@sevicpdc.com and let us give you the investment of a lifetime.

You can also chat with us on WhatsApp: 09095757575 09081234564

 

Ibeju Lekki: Ongoing industrial developments at Ibeju-Lekki

Ibeju Lekki: Ongoing industrial developments at Ibeju-Lekki

In Ibeju Lekki, the Dangote Refinery is expected to be the world’s biggest single-train facility and estimated to cost $9bn. It covers a total area of 2,635ha on the Lekki Free Zone near the Lekki Lagoon, enabling easy shipment of refined petroleum products to international markets.

Nigeria currently has about 37 billion barrels of oil reserves, however, most of our refined products are imported due to the lack of adequate domestic refining capacity. It was due to this pressing need that birthed the Dangote Refinery. The refinery is expected to double Nigeria’s refining capacity, largely to accommodate the pressing demand for fuel and export to foreign markets in and out of Africa. A fertilizer plant is also included in the refinery complex, to fully utilize the raw materials released from the refinery.

This project is projected to generate more than 9,500 direct and 25,000 indirect jobs.

The Lagos Free Trade Zone

A Free Trade Zone is an area free from the intervention of customs authorities, where goods may be landed, handled, manufactured or reconfigured, and re-exported. The Lagos Free Trade Zone initiated in 2002 is the first private owned free trade zone in Nigeria and the biggest in West Africa.

It is located at the Ibeju-Lekki Local Government Area, covering about 155 square kilometres. This zone was strategically chosen based on its integrated hub of active roadways, rail and sea links, eliminating all accessibility barriers. The core objective for this Lekki Free Trade Zone is to provide an ideal platform to expand the investment potential, business activities and tourism sector of Nigeria by eliminating trade barriers, while developing the export-oriented industries, increase foreign exchange earnings and generate employment opportunities.

 

Dangote-Refinery-Ibeju-Lekki

Ongoing Developments in Ibeju Lekki

 

Already, the LFTZ has facilitated massive investments like the Dangote Refinery and Petrochemical plant. The Lekki Free Zone’s completion date is set in 2022, and it’s projected to create 300,000 direct jobs and 600,000 indirect jobs.

The Lekki International Airport

The Lekki International Airport project was initiated to lessen the pressure on the Murtala Muhammed Airport (MMIA) in Ikeja. The master plan of the new airport shows that it’s designed to cater to wide-body, double-deck, and four-engine aircraft with the capacity for up to 500 seats. For a start, the Airbus A380 is expected to carry two million to five million passengers per annum with future prospects of expansion to cater to the increasing aviation needs of the rapidly developing Lekki area and its environs.

The airport’s site is on a 3,000-hectare piece of land off the Lekki-Epe corridor; about 10km from the Lekki Free Trade Zone (LFTZ). It’s strategically located to serve the fast-growing residential and industrial Lekki hub.

The Deep Seaport

The new multi-purpose Deep Sea Port, dubbed as the deepest port in Africa is located at the heart of the Lagos Free Trade Zone. It is spread over 90 hectares of land, approximately 65 km East of Lagos City. The Lekki Deep Sea Port is designed to provide enormous value and support to the burgeoning commercial operation across Nigeria and the entire West African region; with a contract term of 45 years. This project is expected to create about 170, 000 direct jobs and grow to about 2.7 million and 4.5 million TEUs when the project operations fully commence. Also, note that the deep sea port location was strategically located based on the inter-connected road network like:

  • The Old Ibeju-Lekki Road
  • Lekki-Epe Expressway
  • Ikorodu Road
  • Ikorodu-Itoikin-Ijebu-Ode Road
  • Itoikin-Epe Road
  • Lagos-Ibadan Expressway
  • Sagamu-Benin Expressway

 

Read more: How the 2019 Elections affects your Real Estate Investment at Ibeju Lekki 

 

The 4th Mainland Bridge & Masterplan

Lagos is the commercial heart of Nigeria and West Africa; with this comes massive economic opportunities, rapid population growth rate and infrastructural pressure like the need for bigger, better roads. The 4th mainland bridge was proposed to curb the increasing pressure that threatens to paralyse the city’s circulation. The new bridge is expected to improve the natural flow of people and vehicles.

The bridge is designed as a 2 level bridge that simultaneously allows the smooth movement of large numbers of people. The bridge when completed will be 38 kilometres long and would run pass Lekki, Baiyeku towns and Langbasa, serving as an alternative route from Lekki to Ikorodu, Ikeja to Ajah and an additional alternative to the Eko, Carter and 3rd Mainland Bridge.

The 4th mainland bridge is a four-lane dual carriageway designed to have eight interchanges to facilitate effective inter-connectivity between different parts of the state. This project is projected to cost N844billion and is expected to be delivered in three years.

The Dubai Smart City Deal

To crown it all, the Chief Executive Officer of Smart City Dubai LLC, Mr. Jabber Bin Hafez signed the MOU, which would make Lagos the home of the very first Smart City in Africa. The event was presided and witnessed by the Lagos State Governor, Mr. Akinwunmi Ambode. The Chairman of Dubai Holdings, His Excellency, Ahmad Bin Byat who is also the Deputy Prime Minister.

The Smart City deal is expected to draw from the success of Dubai’s innovative knowledge-based industry clusters, to empower business growth for companies and knowledge workers all over the world including our very own Ibeju-Lekki axis. The deal establishes this axis as a strong convergence for technology, economic development, and governance.

Real Estate Forecasts for Ibeju-lekki

Besides all these massive industrial developments currently on-going at the Ibeju-Lekki axis, one factor that makes investing in real estate at Ibeju Lekki an absolutely ultimate deal is the growing Lagos Population Growth.

Lagos state’s population growth rate is rapidly growing now reaching 21 million from just 1.4 million as of 1970. One report stated that about 6000 people move into Lagos daily. Unfortunately, this migration isn’t followed by adequate housing infrastructure. In fact, Lagos needs about 3 million housing units to cater to its existing population.

Other minor facts are:

  • Lagos is the most expensive city to rent a house in West Africa.
  • It is also home to the highest number of millionaires in Lagos and West Africa.
  • If you’re a savvy investor, you must have gotten it already.

With the high demand for labour at Ibeju-lekki, expect a huge urban migration to this region. Coupled with a stable source of income, you’d have ready and willing people to pay good money for accommodation by 2022.

Also read: Why LekkiVale Estate is the perfect real estate investment option

Got questions?

  • Knowing where to invest is one thing, choosing the team to work with to realize your investment goals is another. Here at Sevic PDC, we ensure your investments are 100% secured by offering you the following:
  • The best, strategically located estate at Ibeju-Lekki. LekkiVale Estate is located along the Lekki-Epe Expressway approximately 45 mins from Lekki Phase 1 and 10 mins from the new airport.
  • LekkiVale Estate has a valid, verifiable C of O land document. We encourage all our clients to thoroughly verify land documents before buying land, and we assist them through the whole process.
  • LekkiVale Estate is spread across 6 hectares of dry land. You don’t have to spend an extra naira on landfilling.
  • All our land prices are extremely affordable, with the added advantage of a flexible payment plan to suit your budget.

You can call us right now to book a land inspection at 0908123456409095757575 or Send us an email at info@sevicpdc.com

You can also chat with us on WhatsApp: 09095757575 09081234564

 

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