Finding The Right Land
Get to establish why you need the land, Is it for building commercial units, building homesteads, building rental houses, setting up agricultural-based enterprises or for price speculation?
Kenyan land can be classified as agricultural, residential, commercial, industrial, recreational, airlines, riparian reserves, forest land, national parks and reserves, and more. Zoning describes the classification of land. Therefore, you should check with both the National and County Governments to see if the property in question is registered, usable, and appropriate for the purpose for which you wish to purchase it.
The existence or absence of services like water and electricity is another important factor to consider when purchasing undeveloped land.
1. Site Visit
Visit the land in question to see if it fits your expectations. Check out if the land is accessible, the topography of the land and most importantly engage the neighbourhood administrator for detailed information about the land.
2. Due-Diligence
Buying land in Kenya is a tricky issue that needs a meticulous surgical approach, a very small mistake can make you lose money or your property due to dubious deals.
Try to stick to this below-elaborated procedure to avoid being swindled.
Land search National Government.
Tell the owner of the land to give you the original title deed for purpose of the land search.
The land search is a due diligence procedure that will enable you to ascertain the true owner of the property, its dimensions, and any relevant caveats.
The search is free and instant on the Ardhisasa platform. Whoever you must create an account to use the system
By searching, you can also protect yourself from incidents of fraud because you can receive compensation if an official search leads to a mistake.
Search at the county office
Find out if the land owes the county government any outstanding taxes.
Otherwise, you run the risk of being charged exorbitant interest and penalty fees. Make sure that you and your seller have a clear understanding of who will pay any outstanding rates.
Map of the Land
Visit the local surveyor and buy two maps of the area, one drawn to scale (informally known as tracing or mutation) and the other showing the neighbouring farms for Ksh300 each. These can be purchased from the Lands Ministry, but a surveyor is more accurate and faster.
Checking the Ground
The surveyor and the seller go to the property in person armed with the map. Ensure the dimensions from the scale-drawn map are accurate by measuring them with a tape measure. Beacons should be seen, or lost beacons should be replaced. Per beacon, surveyors demand around Ksh 1,000. Verify that the neighbouring properties along the border accept the borders.
2. Offers and Price Discussions
The buyer will ask their advocate to draft a purchase offer after they are confident that all the specifics of the property are acceptable.
A detailed description of the property being offered, the buyer and seller’s contact information, the proposed purchase price, and the method of payment should all be included in the letter of offer.
The lawyer charges vary, but most lawyers charge Ksh 4000 for land that cost less than a million. Anything slightly above a million is charged Ksh 8000
Payment Process
Don’t pay all the amount instantly, it’s advisable to pay 15 per cent as the first instalment, Commit to paying the remaining amount after visiting the board of the land.
Again make sure that all payments are done through a financial institution like a bank or even through Mpesa, this is to generate material evidence that you pay for the said land.
The Land Control Board (LCB) must approve the sale of the land before the seller can transfer ownership to you. you. land charges are Ksh 1000 for general setting and Ksh 5000 for solicited meetings.
3. Transfer of Ownership
This is the final stage. Once the LCB has approved the sale of the land and you have paid off any outstanding balances, it is time to transfer title deed ownership.
You will need the following items to change title ownership:
- KRA PIN.
- 2 passports.
- Consent from LCB.
- Original title deed.
- Sale agreement (duly signed by both parties).
- Municipal or City council clearance certificate.
Costs associated with Buying Land
- Transfer ownership fee…Ksh. 5,000.
- Commissioner of Lands consent….sh 1000
- Stamp duty urban areas……..4%
- Stamp duty for rural areas…….2%.
4. After-Sale activity
The buyer should recheck with the Ministry of Lands after a week to make sure the land has updated its records with his or her information.
Make sure to collect your title deed after two weeks.
What you should avoid!
- Purchasing land from a deceased person before the succession process is completed.
- Purchasing property near rivers, lakes, roads, forests, schools, and other public bodies before determining the boundaries.
- Developing land without first obtaining approvals from the County Government, the NLC, and the relevant statutory authorities.
- Buying leasehold land with a few years left on the lease before it expires.
- Booking or commitment fee payment
Making any payment, including a deposit, without first signing a Sale Agreement. - Land sale agreements must be in writing to be legally enforceable.