There has been an increase in Islamic housing finance products across Islamic compliant banks, a move that has prompted conventional banks to offer such products. What is behind this trend? We are witnessing increased appreciation of Islamic banking, which is based on sharing of profits and losses. This has led to an influx of Islamic banking products, one such being the Islamic mortgage finance, which...
July 2016
So I get this email from a lady from a local bank asking to collaborate with us on projects. She rightly points out that because most projects are killed by lack of financing, we should work together seeing that I am deeply involved in this sector. She goes on to give me snap shot of their success projects done in town, which are quite impressive and are the talk of town. Wait a minute, are banks now...
Qualifying for a mortgage is a process that begins with self. Self evaluation helps to determine ones level of commitment and prepare one psychologically especially on what to expect. This culminates with an interview with a mortgage lender to determine the various options available and it is the first step in risk assessment performed by the lender to determine key fundamentals of lending including...
Inheritance in Kenya is guided by the Law of Succession Act Cap 160 of the Laws of Kenya. Under this Act, a person may either die testate or intestate. A person dies testate when he has made a valid will on how his property should be distributed on his death. A person dies intestate when he has not made a will on how his property will be distributed on his death or his will has been invalidated. If a...
First published on April 1, 2014 in the Daily Nation Speculators who have bought land close to the planned Konza Technology City may be in for a rude shock as the government implements stringent physical planning guidelines for the area. A local physical development plan for the 252km square buffer zone around the planned city has set minimum plot sizes that may restrict land owners from developing their...
First published on April 15, 2014 Last Saturday I was speaking to several leaders of various cooperative societies and saccos in Nairobi and its environs. The default thing that these saccos (and am sure this is what your sacco or coop society is doing, raise your right hand if am wrong…) do is buying large parcels of land, they subdivide it and sell it to its members and make a “small profit”. This...
Subdivision is the act of dividing land into pieces that are easier to sell or otherwise develop. This requires control for the following reasons. To ensure that each subplot has adequate access roads, open spaces and social infrastructure. To ensure that the proposed population density can be served by the available services. To ensure planned and coordinated development so as to avoid...
There are several ways and places one can explore while planning to get funding for a real estate project; – Personal saving – Financial institutions – Pre-sales/Off-plan sales – Joint Venture – Contractor financed – Offshore funding Personal saving/Owner funding This...
First published on June 15, 2014 The first time I said this statement in the presence of my wife, she looked at me stunned and she refuted my claim. I went on to explain my point. You see, if you work for a bank, you have many privileges that the rest of us don’t. Take an example of buying a 2 bedroom apartment off Mombasa road or in Ruaka, a few kilometers from Village Market and near Runda Estate...
Post first published in July 9, 2014 I normally charge for this information but today am going to let the cat out of the bag. I got a phone call from my childhood friend’s mom. She asked me, “my son, where are people buying land?” I gave her several options and while I talked, she told me, “ you need to come and talk to the church members about these options.” She went ahead to mention the...