I’ve been broke for 7 years, but I inherited land. Should I sell it for Sh14m?

My name is Ibrahim, and for the past seven years, I’ve been struggling financially. I’ve had to rely on odd jobs (vibarua) in the village to survive. A few months ago, my father passed away, leaving behind several acres of prime land. My siblings and I have agreed to divide the land, and I’m set to receive three acres.

In my area, plots go for between Sh450,000 and Sh600,000 each. If I sell the land, I could make up to Sh14.4 million, which would give me a fresh start in life. After all these years of struggle, I’m desperate to turn my life around.

I’m torn about what to do. Should I sell the land and invest the money? Or will selling my inheritance bring a curse upon me? My goals include buying a car, building a house, marrying, and starting a family. I want to go from nothing to something, and I want my village to see the transformation. Please help me make the right decision.

Coming into a large sum of money after a long period of financial hardship can be a blessing, but only if you’re mentally prepared to manage it.

Many people, after receiving a windfall, blow through their money quickly by trying to live up to their newfound status. There are countless stories of lottery winners, land inheritors, and people who’ve received compensation payments, only to lose it all within a few years. Without a proper financial plan, a lump sum can easily slip through your fingers.

To make the most of this opportunity, you need a solid financial plan, one that generates sustainable income over time. A well-thought-out investment strategy that fits your risk tolerance is crucial. You need to invest in things you understand—don’t be tempted by flashy, high-risk schemes that might end in disappointment.

For someone who has been living on a tight budget for so long, it’s easy to get carried away when you suddenly have access to large sums of money.

Be cautious—many new friends and acquaintances may come forward, eager to profit from your generosity. This is when you need to exercise restraint. The wrong advice or poorly researched investments could leave you worse off.

To make the most of the money from selling your land, I recommend speaking with a financial advisor. Since you don’t have a family yet, your focus should be on building assets that will provide both growth and income.

Consider investment options that will allow you to grow your wealth while keeping some liquidity for short- and medium-term needs.

I strongly advise against selling all your inheritance. It’s important to keep at least an acre of land for personal use, whether to build a house or to hold onto as a long-term asset to pass on to your children.

Selling 16 plots (2 acres) at Sh600,000 each would fetch around Sh9.6 million, which is a significant amount. Below are a few investment options you could consider with the proceeds:

Set aside Sh500,000 to start farming on your remaining acre. You could explore dairy farming or niche crops like capsicum, tomatoes, or onions—depending on the climate and your expertise. Engage an expert to guide you through the process.

Invest Sh3 million in three different treasury bond issues, each for Sh1 million, with a 17 percent annual interest rate. If you use a laddered approach—buying bonds in January, March, and May—you can receive six payments of Sh81,000 each year.

Invest Sh3 million in a money market fund with an interest rate of 12 percent per annum. This will give you approximately Sh30,000 per month.

Buy a plot for Sh2 million and build two self-contained, two-bedroom units for Sh2 million each. These units could earn you a rental income of Sh60,000 per month, assuming the location is ideal.

If you calculate your expenses and estimate your monthly budget to be around Sh50,000, the returns from the bonds and the money market fund would give you a surplus of about Sh20,000.

This amount could grow further if your farming venture takes off. Dairy farming, for instance, can generate more than Sh60,000 monthly with the right management and expertise.

At your age, you have the opportunity to scale up your business ventures and create a sustainable income. With fewer responsibilities at the moment, this is the perfect time to start planning for the future. Focus on making informed decisions that will create lasting wealth.

If you have any money problems, or if you’d like advice on managing your finances, feel free to get in touch at [email protected].