10th U6+ Consortium of African Universities International Conference

Financial sustainability is critical to the growth and competitiveness of real estate firms, yet many firms continue to experience financial challenges due to unstable rental income, fluctuating property values, and ineffective investment decisions. This study examined the effect of the buy-and-hold investment strategy on the financial sustainability of real estate firms in Uasin Gishu County, Kenya. Guided by Markowitz's Portfolio Theory, the study adopted a positivist philosophy and a descriptive cross-sectional research design. The target population comprised 542 employees from 31 registered real estate firms, from which 230 respondents were selected using Slovin's formula and proportionate stratified and simple random sampling techniques. Primary data were collected using structured questionnaires and analyzed using SPSS version 29 through descriptive statistics, Pearson's correlation, and simple linear regression. The findings revealed a strong positive and statistically significant relationship between the buy-and-hold investment strategy and financial sustainability (r = 0.691, p < 0.001). Regression results showed that the strategy significantly influenced financial sustainability (R² = 0.477; β = 0.691, p < 0.001). The study concluded that adopting buy-and-hold investment strategies enhances the financial sustainability of real estate firms and recommended strengthening long-term property investment practices.