From what time does the hawl (lunar year) begin for land purchased with money that has been held for half a hawl?

The questioner : A man has a simple half-million riyals, and after six months he bought land with it. Does the hawl begin from the hawl of the money, or from the hawl of the land from the time of purchase? We ask for a detailed explanation.

The Shaykh : Yes, this person who has half a million and bought land in the second half of the hawl: we ask him, did he buy the land for trade, or did he buy it to build a house for himself, or to build a house for rent? If he bought it for trade, like those who deal in land, buying and selling for profit, then the hawl is the hawl of the first item, not from the time of purchase. This is because the hawl of trade goods is built upon one another, and their hawl is built upon the hawl of gold and silver. Pay attention to this. The hawl of trade goods is built upon one another, and their hawl is built upon the hawl of gold and silver. So in this example, a man has fifty—what did he say?—half a million dirhams, and in the second half of the year he bought land for trade with it. The million—half a million is with him from Muharram. When does he pay zakah on the land? In Muharram. In Muharram. No, in Rajab? In Muharram. Good. A person has land for trade, and in the second half of the year he bought a villa for trade as well. Does the hawl of the villa start from the second half of the year or from the beginning of the year? From the beginning of the year, because the hawl of trade goods is built upon one another, and their hawl is built upon the hawl of gold and silver.

The questioner : He has another question.

The Shaykh : I see, my brother. I say that a person should have only one question, but we find that these people have many issues, and they forget about them. What do you say about this, is it fair or not? Renting out is not trade. Zakah is obligatory only on the rent, whereas there is no zakah on the capital itself.