Last I checked, you get 60% of the value of shares.

This has always been a million dollar question.

"Cytonn research projects the real estate sector to have the highest return on investment at 23.8 percent compared to investment in other markets that includes the public market with fixed Income and equities projected to have a 15 percent return in 2015."

http://www.capitalfm.co....-sector-is-a-gold-mine/

I used to have stocks as my main portfolio, despite making money in stocks I have now i have migrated to real estate. Since the last 4 years, my ROI is at 10% in terms of rental returns, and capital gains are 29% compounded per year minimum. Most having been a steady 36.8% per year just 1 or 2 laggards, bringing the average down. Basically, we have doubled our investment and then some Rent escalations are between 5-7% yearly. The mortgaged ones are also receiving rent equivalent to or higher than the monthly repayments. Putting us in positive cashflow. The inconsistency in stocks was annoying,

Buying real estate in good areas, you are assured of Capital appreciation and solid rental returns with assured rent escalation. In stocks, this maybe a hit or a miss. There is no real consistency, you don't run the company, so you don't really know whats happening save from the press, twitter etc. However, everyone has a calling, despite the fact that, I made mullah in stocks, my calling was in real estate. Everyone is different. Choose your area and specialise in it.

Now that the discussion is on real estate,could guys please advice on the following.I have some land in which I hope to develop rentals.Now me question is,is it better to transfer the land to my company and develop as a company or I just go ahead and develop as an individual.The issue of KRA taxes is causing me this confusion.

Over 40k ?!? I din't know 40k was the threshold for an investor.

Anyway this leaves a wide range of discussion points since you could even be earning a million. Continue reading through the many threads you will find a lot of priceless information

best advise shares need very low capitalso start with shares then graduate to real estate with 40K we really do not know what you are saving,so yes start small with share one day sell part of the shares and diversify to land and then real estate.

thanks at @mthaka and @streetwise your advice is greatly appreciated.

Whereas that is true, one can always make sure the company never pays dividends, and makes minimal profit. As an individual, how do you deal with depreciation and other expenses related to the rental property? Are these deducted from the gross earnings before declaring the rental earnings on the tax returns.

I am 101% sure my landlord does not pay taxes. So I think transferring rental property to a company is a dumb move (unless you fear other legal implications like building collapsing)- but I hope everyone in wazua is sober enough not to risk other's lives. My view is that as long as demand outstrips supply in the lower market segment, tax costs can be shifted to tenants. Therefore, if you target the low income segment, you dont need to transfer to a company to minimize tax...you will either shift it or avoid it- bottomline is that the burden is not yours.

Stocks any day! Buy KQ at 45 sell at 7/- Buy Mumias at 40/- sell at 2/-

Real Estate
- Land
- Residential Property
- Commercial Property
- Hotels (lodging)
- Hostels
I am thinking hostels for cash flow purposes. Anyone here who owns hostels? kindly share your experience.