1 / 3

What is a Key Holding Company And Their Services?

The key Holding Companyu00a0is a company that holds the deeds to land but does not own it. This makes them valuable because they have control over the deed, but do not have the expense and liability that owning real estate would bring

8579
Download Presentation

What is a Key Holding Company And Their Services?

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. What is a Key Holding Company And Their Services? forces01.blogspot.com/2021/03/what-is-key-holding-company-and-their.html The key Holding Company is a company that holds the deeds to land but does not own it. This makes them valuable because they have control over the deed, but do not have the expense and liability that owning real estate would bring. There are several key holding companies throughout the United States and Canada. With the economy the way that it is and the problems that people are having financially, more companies are looking for ways to increase their cash flow and make themselves more financially secure. A key holding company, such as Key House Capital, Inc., Key House, LLC, and KIC, Inc. are all companies that hold deeds to land that has already been developed. These companies have contracts with developers to purchase land from them so that they will be able to develop that land into residential and commercial properties. Once the land is developed, the holding company buys out the rights to the development from the developer and then becomes the owner of the land. They can then hold title to the land and take care of the financial side of developing it. 1/3

  2. How they help to increase the cash flow? The idea behind creating these holding companies is for these companies to be able to increase their cash flow by purchasing land at less cost than the developer. This allows them to become more financially stable and able to pay themselves off in a relatively short period of time. It also allows them to develop more properties and take on new development projects. In some instances, these companies will hold land with the developer and help him develop the property into a project after the current developer pays them for the right to do so. The key holding company concept is fairly simple. The company looks to find developers with good track records that need to purchase land. After finding the developers, the company finds you the developer. You provide the key holding company with a down payment, which they use to purchase the land. The rest of the payment is made up from the developer's own pocket. The developer makes his payments to the key holding company in return for the rights to the land. Why should you choose the key holding company? The main reason to choose the key holding company is that it eliminates a lot of hassle for the individual seller. When you have a property sitting on the market and you do not have a buyer, you become a landlord. You have to worry about tenants, maintenance, taxes, and a slew of other things that can ruin a sale. With the key holding company, you do not have to worry about any of these things because the company acts as a broker and handles everything for you. As an investor, the key holding company allows you to keep a larger portion of your investment. The holding company is responsible for collecting rent and making sure the development is up to code. If anything happens to the property, you are the one who is responsible for replacing everything. This keeps the investor from losing a huge amount of money, which is often the case with flipping properties. 2/3

  3. The last reason to choose a company over a real estate agent is that they are often more motivated. Agents typically work on commission, which means they are only going to take as much as they are worth. You will always be able to tell the difference between an agent and a broker. An agent will always be willing to negotiate, while a broker will let the real estate agent get their way. In the end, the broker usually ends up losing more money than the company does. Keep in mind that there are many companies out there offering key holdings. You need to do your homework and research each one thoroughly before signing anything. You can find all of the information you need to make an educated decision on which company to use by simply doing an online search. This is the best way to get started on your research and ensure you get the most for your investment. If you are looking for the key holding companies then you can visit websites like 4forces.co.uk. 3/3

More Related