For any Kenyan working hard for their money, a car or a home tops the list when it comes to making investment choices.
If you work in an extremely busy place like Nairobi C.B.D, it is impossible to operate without a car.
But is it?
Depending on your financial circumstances, you can have it all.
The cars, the houses and every fine thing the world has to offer.
If your pockets don’t run that deep and you consider yourself a bonafide “hustler,” you will need to pick a struggle between the car and the house.
Woke Generation
In this day and age, everyone who is well- read will advise you to make an investment on the house before the car because a house is an asset whilst a car is a liability.
It couldn’t be further from the truth.
Ideally, If you have a long term plan in mind this is the best advice for you.
Realistically, every working professional knows that there is nothing worse than getting stuck on Thika Road for hours especially if you have a meeting to attend in Westlands.
Time is money
Having a car saves you a lot of time because of the luxury of taking shorter routes.
In the business world, the phrase, “time is money” is accorded the weight it deserves.
When It comes to these two investments, it is a question of what comes first, not which is more important.
Both car and house are valuable investments depending on your immediate needs.
In the end, you will need both so it makes no sense to downplay one over the other.
Why Car?
You have saved diligently for many years and you have a cool Kes 2Million in your bank account.
You want a house, but when you are on the verge of closing a deal on that lucrative “ka-plot” in Ruiru, something else comes up.
Your parent informs you that they are suffering from a terminal illness, let’s say cancer and will need constant medical attention.
The burden of taking them to hospital every other week lies solely on your shoulders and now a car becomes more urgent an investment.
This is the perfect example of why an individual’s circumstances outrun any logical way of doing things.
When it comes to these two investments, the line is neither black nor white.
Why House?
For obvious reasons, having a title deed to your name gives you a sense of belonging that words cannot express.
This investment is noble, by all standards.
For as long as your salary can continue to sustain you while you pay the mortgage, there is really no reason holding you back.
Having a realtor will also come in handy to give you the local market trends.
It is vital to know how the market is performing at that moment.
You might decide to go for an investment worth Kes 8Million, only for it to come down to Kes 6million in a year or so. Who has lost?
Despite prioritizing the purchase of a home, holding off for a while might save you a fortune.
Kuwa mjanja
Having said that, you should always pick a second- hand car over a brand new car for as long you have done your due diligence and it’s in great shape.
You might have a very long list of pros and cons, but it narrows down to personal choices and priorities.
If I were to make an investment right now, I would buy a house over a car, but only because my ka-premio is still in perfect shape and might serve me for another three years.
Bottom Line
My point here is not to debate the obvious fact that a car depreciates quickly.
It also isn’t my goal to argue for or against someone’s decision to purchase either a new house or a new car.
To sum it all up;
Question;
If you are in a stable financial position and you intend to eventually purchase both a house and a car, which one should you buy first?
Answer:
It depends on your immediate individual circumstances.
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