Land Banking Kenya Options


Investment Growth - Piggy BanksLand Banking Kenya Option is a revolutionary product that enables buyers to control a block of land without any holding costs, no interest repayments, no borrowing. You are now able to book a price of a parcel of land you have longed for and better still pay for it after several years.

The product grants the buyer a right buy (but cannot be compelled to buy unless otherwise stated)  the land from the seller at a fixed price and defined future date. The buyer hence pays a fee to compel the seller not only to hold the parcel of land for them but also to lock the purchase price. The fee is normally a fraction of the value of the land and is the only assurance to the seller that the buyer is committed . There are a few exceptions to this rule with some of our  Land Banking Kenya Option Products.

Because of the huge risks to the seller, this fee is conventionally non-refundable. Buyers could however transfer the product to a third party before it expires for a fee. If a buyer's circumstances change, they could transfer the option and charge a fee higher than the original option fee. The settlement figure at expiry of the product will however always remain as a difference of the agreed value of land on purchase of the contract and the original option fee. For most Land Banking Kenya Options products, a buyer generally has a choice whether to exercise the right to purchase the land and compel the seller to sell.

Benefits of Land Banking Kenya Option to the Buyer:

1. Low risk.

 

http://www.dreamstime.com/stock-image-high-risk-low-risk-one-side-another-concept-amount-different-choices-you-can-make-business-process-image40573151The Hazina and Chanuka products are low risk investment vehicle to the buyer. The product protects buyers against unforeseen market uncertainty. For instance: buyers can and are able to 'walk away' from the deal should the market conditions change or interest in Land Banking decline or if buyer’s financial circumstances change. We have also developed  products for the sophisticated investor willing to engage calculated risks in pursuit of high investment returns.

2. No Bank interest payments for the whole duration of the option.

Since the option fee is a fraction of the land value, most buyers are able to use their savings to secure the deal and settle the full cost of purchase at later date. This saves you huge bank interest payments for the whole duration of Option contract.

3. High Returns.

Buyers commit only a fraction of the value of land. For instance, for land valued at KES 300,000 you are only required to raise KES 75,000 but you will be entitled to full land value appreciation while the option contract matures to expiry.

4. Opportunity to diversify and consolidate wealth.

Since buyers pay only a fraction of the land value yet entitled to ALL equity generated during the period the option matures to expiry , there exists an opportunity to explore other investment opportunity at the same time.

What Can I Do With The Product Digital Certificate?

Once Land Banking Kenya Call options are purchased, option certificate will be issued to the buyer. The buyer can use several strategies discussed below to derive returns

1. Buy -Trade Options Strategy:

Land Banking Kenya options are transferable. Buyers are free to assign/transfer options at a fee greater than what they paid to a third party through the proscribed assignment process.

2. Buy-Hold Strategy:

dreamstime_xs_18323231If you are convinced Land value will significantly increase, then holding your option(s) to expiry may generate huge equity. For instance - a 3 year Land Banking Kenya Option with a strike price of KES 300,000 and option fee of KES 75,000, requires you to pay KES 75,000 in order to "Lock" the Land price at KES 300,000. If at expiry of the option, Land Value is say KES 500,000, the option holder has the right to purchase land valued at KES 500,000 for only KES 225,000 (KES 300,000 less the option fee of KES 75,000).

3. Buy-Hold - Flip Strategy:

As Land option approach expiry, demand for them increases and option holder can cash in huge profits. The option holder believes land value will significantly appreciate in value. They then market their options privately and transfer to a buyer on Settlement day. Timing is crucial to avoid transacting post expiry which then nullifies the option. Example: 3 year Land Banking Kenya Option with a strike price of KES 300,000 and option fee of KES 75,000 requires you to pay KES 75,000 in order to "Lock" the Land price at KES 300,000. Since the option holders speculate Land value will appreciate exponentially, they want to hold the option to expiry. They notify option writer (Land Layby Kenya Ltd) that they will transfer ownership just before expiry. The option holders now have a client willing to pay KES 300,000 for the option. On settlement Land Banking Kenya will then receive KES 225,000 from the current buyer and KES 300,000 is paid to former option holder by the current owner.

4. Buy-Hold- Buy Back:

Although not guaranteed, in some instances Land Layby Kenya Ltd may offer to acquire the options at a premium to the option holder.

5. Agribusiness:

Generate passive income through our participating agribusiness partners that can finance a number of income generating farming activities whilst waiting to settle on the parcel of land.

DISCLAIMER: Land Layby Kenya does not guarantee the accuracy and/or completeness of any data included herein, or any data from which it is based, and Land Layby Kenya shall have no liability for any errors, omissions, or interruptions therein. Land Layby Kenya makes no warranties, express or implied, as to results to be obtained from use of information provided by Land Layby Kenya and used in this service, and Land Layby Kenya expressly disclaims all warranties of suitability with respect thereto. While Land layby Kenya has obtained information believed to be reliable, Land layby Kenya shall not be liable for any claims or losses of any nature in connection with information contained in this document, including but not limited to, lost profits or punitive or consequential damages, even if it is advised of the possibility of same. These materials have been prepared solely for informational purposes based upon information generally available to the public from sources believed to be reliable. Land layby Kenya makes no representation with respect to the accuracy or completeness of these materials, the content of which may change without notice. The methodology involves a combination of specific knowledge of Land Layby Kenya and maintenance of the data bases that are made periodically during each year and may not, therefore, reflect real time information. Analytic services and products provided by Land layby Kenya are the result of separate activities designed to preserve the independence and objectivity of each analytic process.

Main Products of Land Banking Kenya Options

Land banking Kenya Option – CHANUKA
Chanuka is similar to Hazina in that it offers the buyer an option to walk away.
DISCOUNTED PRODUCT WITH POTENTIAL FOR HIGH RETURNS
LOW RISK
NO BANK INTEREST REPAYMENT
Land banking Kenya Option – HAZINA
Hazina offers the buyer an option to walk away from the deal.
POTENTIAL HIGH RETURNS
LOW RISK
NO BANK INTEREST REPAYMENT
Land banking Kenya Option – JADILI
This product is for highly speculative sophisticated investors.
POTENTIAL FOR VERY HIGH RETURNS / DISCOUNTED OPTION FEE
HIGH RISK
NO BANK INTEREST REPAYMENT
Land Banking Kenya Option – AKIBA
This product is for sophisticated investors.
POTENTIAL FOR VERY HIGH RETURNS / DISCOUNTED OPTION FEE
MODERATE RISK
NO BANK INTEREST REPAYMENT
Land banking Kenya Option – FUNGUO
This product is for highly sophisticated investors.
POTENTIAL FOR VERY HIGH RETURNS / DISCOUNTED OPTION FEE
MODERATE RISK
NO BANK INTEREST REPAYMENT