Saturday, July 2, 2022

Ways to get cash for that plot you have been eyeing

Buying land is one of the best investment options to make. It appreciates in value and has high liquidity since it is easily resalable. Most people know why investing in real estate is crucial. However, the major issue arises when it comes to raising funds to purchase land; the ways to get cash. Here are some ways you can realize your dream:

Savings

You can chip in on your savings and buy land which is sold at affordable rates and offer high return value

Joining a Sacco

In Saccos, you can save and get cheap loans to buy the land. Saccos offer you loans after a period of six months of savings. They can offer you up to four times the amount of money for a loan with low-interest rates, which you can use to purchase the identified parcel.

The interest rates are predictable with the saving platform where one can plan for the repayment as well, a process you will be duly guided. You can use the land as collateral in a Sacco for the land you are purchasing.

There are Saccos that sell land or facilitate you to purchase land at affordable prices and also take charge of documentation like title deeds.

Banks

You can get land financing from some of the commercial banks in Kenya. All you have to do is have a sit down with your banker who will explain their offers and requirements

Some common loan products offered by commercial banks include, among others;

  • KCB Bank plot purchase loan under KCB.
  • CFC Stanbic Bank’s Vacant Land Loan
  • Faulu Kenya Real Estate Business Loan
  • National Bank of Kenya Plot Purchase Loan

Your bank will demand the title deed to do a search to ascertain ownership.

Different professionals will also be engaged to ascertain the valuation of the land to protect you against overvaluation.

It will then offer you the amount and hold the title as collateral. The title will have your name and the bank’s initials depending on the percentage of the amount advanced.

CLICK HERE TO VIEW AFFORDABLE FANAKA PLOTS!

The title will be transferred to your name once the loan is repaid in full.

Payment through Installments Offered by Real Estate Firms

As of 2017, over 80 per cent of real estate firms did not have credit partnerships with financiers, leaving only 18 per cent who were mainly backed by banks and SACCOs.

This was highlighted by a report by Property Realty Company (PRC).

Kenyans in Diaspora: Why we chose to buy land through Fanaka

Over the recent years, there was an increase in the proportion of firms offering installment purchase by 13 per cent to 87 per cent, with 61 per cent allowing payments of up to three months.

Fanaka Real Estate is one of the firms offering payment through installments where buyers can own their plots as they pay monthly for up to a year.

Banks and real estate firms also partnered in the provision of financing for land purchase.

Did you love the story? You can also share YOUR story and get it published on Bizna Click here to get started.

Connect With Us

283,591FansLike
13,557FollowersFollow
7,634FollowersFollow
1,270SubscribersSubscribe

Latest

Related

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Win Airtime
No prize
Next time
Almost!
M-Pesa
Bizna Club Membership
No Prize
No luck today
Almost!
50% Discount
No prize
Unlucky
Get your chance to win a price!
Enter your email address and spin the wheel. This is your chance to win amazing discounts!
Our in-house rules:
  • One game per user
  • Cheaters will be disqualified.
error: Content is protected !!