Last time we spoke about land rates and how to pay them, today we are going to look at land rent. Most people confuse land rate with land rent. By definition, land rent is the levy which is charged on leasehold parcels of land whereby the annual rent is reserved at the time the grant …
By definition, land tax/rate is the levy payable annually on every piece of land regardless of whether it brings income or not. It is taxed based on the current market value of the land and it varies depending on where a piece of land is located. The land rates are payable via the respective county …
Land banking is an investment structure in real estate involving purchasing of large tracks of land which are not developed and later sell it at a profit. In some cases, it is known as real estate investment schemes. Normally, real estate developers buy the land, subdivide it and sell it to investors who have two options: buying a plot or acquiring an option to purchase a plot of land.
Investors in this investment strategy, always project the future of an area and with the rising demand for properties close to urban centres, they buy at affordable rates and sell at a profit. This mostly happens in suburbs of major cities. In most cases, land banks purchase vacant and residential land.
This investment strategy dates back to over 500 years ago when John Jacob Astor bought a huge tract of land in Manhattan, later on, he sold it at a huge profit.
Benefits of land Banking
This old land banking practice has numerous advantages for investors. However, this investment has its own risk just like any other investment. But still, the benefits outweigh the risks. For those wondering whether land banking is a good investment, read on to get more information and insights.
This investment has little or no maintenance, no taxes, or insurance. Further, it does not require huge financing in comparison to other real estate investments
When you invest in the right location, appreciation is a must enjoy for this type of investment. Further, despite the value of land rising, you can at some point develop the property and reap even a good income from the investment.
Requires fewer finances
For land banking beginners, the amount of money required is low in comparison to other assets. If you do not have a lot of finances, you can begin investing in this category and grow your way up.
When done correctly, real estate is one of the most popular and profitable investments with a lot of potential for success. Real estate investing offers many advantages, and investors can enjoy a steady income flow that may lead to financial freedom. We spoke with our CEO who shared various benefits of investing in real estate. …
Real estate investment is one of the most vibrant sectors of the Kenyan economy and is a popular venture. Land being a precious commodity, it has attracted buyers from all age groups. The following tips should be helpful to a first-time land buyer in Kenya.
Your must haves are those non negotiable that you require your potential piece of land to have, these could be availability of water, electricity, good roads and more. While your must have nots are those requirements that are a plus to have but wouldn’t keep you from buying the piece of land if it didn’t …
A piece of land presents a lot of opportunities but not endless, there always are going to be limitations on what you can do and build on a piece of land. This is normally dependent on the local zoning, different localities hold different requirements i.e., there are places where you can’t build a story building …
One of the biggest things you need to look out for is who you are buying land from. You should consider buying land from a trusted partner. This can be from an individual you know well who works in the real estate industry or from a real estate company which has the proper documentation and is a trusted real estate agent such as Sanka Properties and Merchants Ltd.
The biggest advantage of doing this is that you minimize your chances of coming across fake land sellers and you are guaranteed of the best deals in the market.
Masinga is an electoral constituency in Kenya and is one of eight constituencies in Machakos County. It is a town which Masinga dam was named after. The town has experienced rapid growth over the years and has gradually become an economic hub of the surrounding constituencies. Devolution growth has greatly opened up the town for …
Juja farm has become a fast-growing town within the Nairobi metropolitan, and this hasbeen made possible by the expansion and modernization of the Juja farm roads.Say you do not want to live in the middle of the hustle and bustle of the citybut still want to access the city fast, Juja farm becomes an ideal …