The company focuses on providing value to its clients by offering parcels of land at prime locations with ready title deeds
When Moses Muriithi was still on campus, he knew he wanted to venture into the real estate sector. That’s why he endeavored to raise start-up capital, which he used to buy few parcels of land at prime locations. “I used to do freelance writing, and from the earnings I made, I invested in real estate,” he says.
However, Muriithi reveals that his journey to own land was not a walk in the park. “I visited several real estate companies and realized that there were many shortcomings.” Real estate is a sensitive matter as it is capital intensive. Investors must be issued with proper documentation such as letter of offer and title deeds, besides having a guarantee of the value of the product they are investing in.
Muriithi feels that many people buy parcels of land, which they can’t resell due to lack of demand. In this case, he believes location is a determining factor while investing in real estate.
It is due to these shortcomings in the market that inspired the young entrepreneur to establish Fanaka Real Estate in 2016. The company was born to bridge the gaps in the industry. “I’m the kind of person who tries to seal gaps in the market. I believe that business is about fulfilling someone’s needs,”
“Our products are within a radius of 50 km from Nairobi,” says Muriithi, adding that “People living in Nairobi need a place they can call home, somewhere they can settle and manage to go to work daily.”
It’s important that people consider investing in cosmopolitan locations where there is high possibility of growth and appreciation.
Furthermore, Fanaka offers proper documentations to its customers and even allows them to do due diligence prior to buying the property. Once a customer identifies the project they want to invest in, they are given a copy of the title deed, which they use to perform an official search. Once they are convinced the land is genuine, they are issued with a title deed within three weeks upon payment.
Muriithi advises people to always do due diligence by visiting the location, buying the map of the area, and conducting a search to ensure they do not lose money along the way. Many people shy away from investing for the fear of losing their money in fault deals.
The real estate company also launches projects in developed areas. Fanaka is more about the value of the product and that’s where we come in.
So far, the company has undertaken 10 projects and completed them successfully to the satisfaction of the clients. Other ongoing projects include the Palm Gardens, Sunset View Gardens at Joska, Kamulu Gardens and Plains View Gardens.
With about half a million people moving to urban areas every year, the demand for land in Nairobi is expected to continue growing and Muriithi believes this is a major opportunity.
Flexible payment plans
Fanaka offers both cash and installment modes of payment. For the installment plan, clients are required to pay a deposit of 50 percent of the value of the project, and clear the rest within six months. In case of cash payments, clients are given a discount of 4 per cent.
“We are however very flexible, and are able to adjust accordingly depending with clients’ needs. At the end of the day, we want people to own property.”
Price includes legal fees, stamp duty and title deed.
By ensuring that every plot has a title deed, is a 100 per cent money back guarantee that the real estate company is selling genuine property. This is unlike other players in the industry who sell property, but take a long time before delivering title deeds.
Muriithi says their uniqueness lies on documentation and location of the plots. “We basically select the best plots for our clients, besides ensuring that all of them have ready title deeds.”
As aforementioned, the company’s land is located within close proximity to Nairobi, in developed areas with water and electricity, and near the tarmac roads. The projects are also in a gated setup.
The plots are also affordable, going for as low as Sh 550,000 for an eighth-acre.
“Our happiness is when we complete our projects and all the customers are satisfied, when we go back there and find some of them developing their parcels of land,” offers Muriithi.
Fanaka has also been able to create employment, currently employing 10 people directly and about 30 indirectly.
Despite these achievements, investing in the real estate sector is capital intensive, in addition to experiencing stiff competition from various providers. Muriithi however feels that as long as you have the right product that sets you apart from others, you will eventually penetrate.
He urges the national government to partner with county governments on affordable housing by providing the necessary amenities in all areas surround urban areas.
To the young people, the managing director advises them to work on something that they are passionate about; business is not always about money! He believes- go for success and money will follow you.