UGANDA, Kampala | Real Muloodi News | Building a home is more than just putting up walls; it is an emotional and financial investment of significant social and cultural importance. In Ugandan traditions, moving into one’s home signifies maturity and garners community respect.
Socially, many dream of the freedom of not worrying about a landlord at the end of each month. However, only a few can realise that dream. This article explores how some people save money to build homes, while others struggle or never try.
Planning Ahead
For 30-year-old Joel Kibira, a homeowner in Kanyanya, Kampala, the journey to building his dream home began with setting clear financial goals in 2017.
Knowing that this goal would require careful planning and disciplined financial management, he started planning two years before beginning construction in December 2019.
“I first established a specific savings target for my dream home, then calculated the amount I needed for the down payment, construction costs, and other expenses associated with homeownership. By setting a concrete savings goal, I had a clear target to work towards. Once I started and noticed my savings growing, I got motivated to stay focused on my objective,” Kibira said.
Kibira implemented a budgeting system to track his progress, monitoring his income and expenses closely. He categorised his spending, identified areas where he could cut back, and allocated a portion of his income towards his home fund each month.
He avoided unnecessary expenses by cooking meals at home, utilising public transportation, and finding creative ways to entertain his family without overspending.
By prioritising his financial goals over short-term gratification, Kibira could allocate more resources towards building his home.
“I mapped out a realistic timeline and budget, taking into account my income, expenses, and savings potential,” he explained.
Kibira also reduced his monthly expenses by downsizing his lifestyle and resisting the urge to splurge on luxuries.
“For example, when I started building, my family and I got a cheaper house for rent, which allowed us to save more. This reduced the financial burden I would have otherwise experienced living in our former home while trying to save money to build our own,” said Kibira.
Furthermore, Kibira sought additional income sources to accelerate his savings. He took on side gigs, freelanced, and invested in stocks and mutual funds to grow his wealth.
By diversifying his income streams, he minimised his reliance on a single source of earnings and maximised his savings potential.
After seven years of diligent saving and careful planning, Kibira achieved his goal of moving into his dream home in January 2024.
Combined Efforts
John Balyejusa and Sarah Birungi attribute their successful journey to homeownership to having a shared dream.
Building a home is already challenging without an unsupportive spouse. Fortunately, this couple had an aligned vision of building and living in their own home, making sacrifices and difficult decisions easier to bear
They revealed that although their funds were limited, they had abundant creativity.
“We made sacrifices where necessary, cutting back on unnecessary expenses and finding creative ways to save,” Balyejusa shared. From cooking meals at home to limiting optional spending, they prioritised their home-building goal above all else.
Their first challenge was finding affordable land in their desired area. After months of searching, they found a strategically located plot in Kamuli District.
Despite being overgrown and neglected, they saw its potential and purchased it.
Next, they designed their home with no background in architecture.
They turned to books and online resources, sketched countless floor plans, and consulted local experts to ensure their design was functional and structurally viable.
During construction, they faced setbacks ranging from unexpected expenses to adverse weather conditions. At times, it seemed their dream would never materialise.
Yet, they persevered, relying on determination and resourcefulness to overcome each obstacle.
“One particularly challenging hurdle was sourcing sustainable materials within our budget. We searched for old materials and repurposed items from demolished buildings, giving new life to old wood and bricks. While it required extra time and effort, we took pride in knowing that our home was built with minimal environmental impact,” Balyejusa explained.
Despite the hardships, Balyejusa and Birungi found joy in creating their home together. They formed lasting friendships with fellow builders in the community and discovered a newfound appreciation for simple pleasures.
After four years of hard work and dedication, their home was complete, proving the power of commitment to living a life guided by simplicity and sustainability.
Automating Savings
Automation was a game-changer for Mark Asiimwe, who faced the challenge of saving enough money to build his home.
He automated a portion of his income to be deposited directly into a separate savings account earmarked for his home project.
Asiimwe set up automatic transfers from his paycheck into a dedicated savings account. Every month, a portion of his earnings was automatically deposited into this account before he could spend it elsewhere, ensuring he consistently set aside money for his home-building fund.
To further boost his savings, he set specific savings goals, tracked his expenses diligently, and cut back on unnecessary expenses.
He also looked for ways to increase his income, taking on freelance projects in his spare time and investing in opportunities that offered good returns.
As time passed, Asiimwe’s savings grew steadily. When he had saved enough money to purchase land and begin construction, he ensured the process would not be interrupted.
He completed and moved into his home in three and a half years.
“Thanks to my foresight and dedication to automating my savings, I achieved my goal and built a beautiful home,” Asiimwe said.
Staying Flexible
Flexibility was key for 65-year-old Michael Mutabazi, a retired teacher and homeowner in Wakiso District. Mutabazi embarked on building his dream home in January 2021.
Excited and determined, he precisely planned every detail. However, as construction began, unforeseen circumstances arose.
The initial budget estimation was off target due to fluctuating material costs and unexpected permit fees. Mutabazi remained flexible, opting for cost-effective materials without compromising quality.
Local building code changes required alterations to his designs. Mutabazi worked closely with his architect to ensure compliance while maintaining his vision.
A shortage of skilled labourers slowed progress, so Mutabazi hired additional workers and provided training to keep the project moving.
Despite setbacks, Mutabazi’s flexibility and resilience paid off. His home turned out even more beautiful and functional than he had imagined. Through it all, he learned that flexibility is key to overcoming obstacles and achieving success.
“I learned to adapt my budget and priorities as circumstances changed,” he said. By remaining flexible and resourceful, Mutabazi achieved his goal of homeownership.
Expert Opinion
Joseph Musoke, a financial expert, says the road to homeownership requires diligent saving and careful budgeting.
The first crucial step is creating a detailed budget tailored to home-building goals.
“Monitor your expenses closely to identify areas where you can cut back and redirect funds towards your savings. Research different financing options, such as mortgages and construction loans, to determine the best fit for your financial situation,” Musoke advised.
Musoke added, “Set aside funds for unexpected expenses that may arise during the home-building process to avoid derailing your progress. Stay committed to your savings plan and resist the temptation to deviate from your budget unnecessarily.”
Musoke emphasised the importance of seeking professional guidance when saving for a home.
He says, “a financial advisor can provide personalised strategies and insights tailored to your specific financial situation. From optimising savings accounts to exploring investment opportunities, expert advice can help maximise savings potential.”
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