What Can I Do With The Product Digital Certificate?
Once Land Options are purchased, option certificate will be issued to the buyer. The buyer can use several strategies discussed below to derive returns
1. Buy -Trade Options Strategy:
Land Options are transferable. Buyers are free to assign/transfer options at a fee greater than what they paid to a third party through the proscribed assignment process.
2. Buy-Hold Strategy:
If one is convinced that Land value will significantly increase, then holding the option(s) to expiry may generate huge equity. For instance, a 3-year Land Option product with a strike price of USD 3510 and option fee of USD 850, requires payment of USD 850 to "Lock-in" the Land price at USD 3510. If at expiry of the option, Land Value is say USD 3858, the option holder has the right to purchase land valued at USD 3858 for only USD 2660 (USD 3510 less the option fee of USD 850).
3. Buy-Hold - Flip Strategy:
As Land option approach expiry, demand for the land option products increases. The option holder can therefore cash in huge profits. If the option holder believes land value will significantly appreciate in they can then market their options privately and transfer to a buyer on Settlement day. Timing is crucial to avoid transacting post expiry which then nullifies the option. Example: 2-year Land Option with a strike price of USD 3510 and option fee of USD 850 requires one to pay USD 850 in order to "Lock-In" the Land price at USD 3510. Since the option holder speculates Land value may appreciate exponentially, they want to hold the option to expiry. Assuming the land value appreciates to USD 3858, the option holder will notify the option writer (Land Layby Inc) intention to transfer ownership just before expiry. If the option holder has a client willing to pay USD 3858 for the land, then up on settlement, Land Layby Inc will receive USD2660 from the current buyer and USD 1198 is transferred to the former option holder. The former option holder will have successfully flipped the Land Option and created equity of USD 348 within the 2 years.
4. Buy-Hold- Buy Back:
Although not guaranteed, in some instances Land Layby Inc may offer to acquire the land options at a premium to the option holder. Premium Plus Members can exercise Buy Back and Money Back guarantees if provided for in the Land Option Contracts
5. Buy-Back Guarantee:
Premium Plus Members enjoy buyback guarantee of up to 12.5% ROI provided the buyback guarantee is exercised no later than 2 months before the Product expires.
6. Money Back Guarantee:
Money back guarantee exercised no later than 2 months before the Product expires ensures all amounts paid by the Premium Plus Member to purchase the Product, less any costs, fees and disbursements, are credited to the client’s account held with us.