Real Estate

Financing your real estate investment is one of the major issues faced by Kenyan investors. The real estate market has become one of the key investment options dues to its ability to caution investors against economic turbulence like inflation. We all know “it takes money to make money”. The biggest impediment for developers who want to develop real estate properties or the buyers trying to secure real estate properties is how to finance the real estate investment.

Afritrade can assist in capital raising through the following:

Equity financing: Equity financing as a means of raising money for real estate investment involves the sale of ownership in order to raise money.
Presales Financing: Presales is one of the most common financing methods in Kenya today. This is where you make early sales on the project before the project has been completed. Developers use renders (the property models and visuals) to entice investors to purchase the products before the project has been developed.

Joint venture: Location is key when making a real estate investment decision. Getting land at a strategic point is expensive and may deplete the developer’s ability to finance the rest of the project. Doing joint ventures which involve including another person into the project who has the ability or resources needed is key. The simplest and common form of join ventures is where the developer partners with the landowner to construct the project. The landowner can get payment by either getting units from the finished project or getting a share of the profits from the finished project.