Finance

Payments at Sabai Property are made on a weekly basis with a one-month GAP period. In simpler terms, the income generated by the property in the previous month is disbursed to investors during the current month. This ensures that investors can start receiving returns from day one, rather than waiting until the end of the monthly accounting period.

The amount of income distributed depends on the financial performance of the previous month. If the property earns less than the guaranteed monthly yield set by the developer, investors will receive payments at the guaranteed rate. If it earns more, investors will receive the corresponding income.

For instance, if an asset has a 6% annual yield (6% / 12 months = 0.5% monthly yield). Last month, it earned a 0.4% yield, which is less than the monthly guarantee. In this scenario, you will receive 0.5% instead of 0.4%, as the guarantee surpasses the actual yield.

Conversely, if the asset earned, for example, 0.8% with a monthly guarantee of 0.5%, then you would receive the entire yield – 0.8%.

What is the expected investment return?

The return varies depending on the investment format:

  1. Guaranteed income of 5-7%, paid by the developer irrespective of property occupancy.

  2. Projected rental yield of 8-12% during periods of property leasing.

  3. Projected profit from resale — 5-18% for investments made during construction or during operation.

How is the token price determined?

The overall cost of the property is determined through an independent appraisal. Subsequently, the Sabai Property is divided into a specific number of shares so that each of them would be valued at $50 during the initial sale. Correspondingly, tokens representing the property are issued in the same quantity as the shares the property is divided into. Therefore, 1 token equals 1 share of the property, which amounts to $50.

Moreover, Sabai Property facilitates a secondary market where users can engage in trading property tokens among themselves. The pricing in this secondary market isn't regulated by Sabai Property and is solely dictated by the dynamics of supply and demand. However, the platform does provide a recommended token price obtained during the latest appraisal conducted by an independent specialist, whom we enlist for each property.

What is the express token buyback on Sabai Property?

Sabai Property has implemented an express token buyback system. With it, users can instantly sell their property tokens for 80% of their nominal value (i.e., $40 instead of $50).

This system is geared towards swift capital withdrawal, ensuring optimal liquidity for the real estate sector.

How is the developer's guarantee structured?

The developer's warranty is a return (5-7% annually) paid by the developer in the event that the actual monthly income of the property is lower than the guaranteed income.

For example, a property has a guaranteed 6% annually (6% / 12 months = 0.5% monthly income). Last month, it earned a 0.4% income, which is less than the monthly guarantee. In this case, you will receive 0.5% instead of 0.4%, as the guarantee exceeds the actual income.

Conversely, if the property, for example, earned 0.8% with a monthly guarantee of 0.5%, then you will receive the entire income – 0.8%.

The developer's warranty is established separately for each property and is specified together with the terms in its profile.

What payment methods are available on the platform?
  1. Cryptocurrency.

  2. Visa/MasterCard (available from the end of February 2024).

  3. Cash for investors physically present in Phuket (with a conversion fee to cryptocurrency), as well as other payment systems and partner services available in Thailand.

What is Total Investment Value?

Total Investment Value is the total cost of the property, including not only its cost but also incidental expenses, such as registration tax and advance fees for DAO LLC.

What is Projected Total Income?

Projected Total Income is the overall projected return from the property, consisting of Projected Rental Income and Projected Appreciation.

What is Annual gross income?

Annual gross income is the developer's budget for guaranteed payments.

What is Rental Income?

Rental Income is the annual rental income from the property.

What is Annual cash flow?

Annual cash flow is the annual revenue from the property.

What is Monthly cash flow?

Monthly cash flow is the monthly revenue from the property.

Are payments subject to taxes?

Sabai Property does not act as a tax agent, so each user independently determines the amount of taxes, deadlines, and the procedure for payment based on their jurisdiction and other factors.

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