Land - being a fixed asset who value always appreciates - is always on high demand. Nonetheless, it is one of the avenues where unwary buyers are swindled millions of shillings.
From being sold public land, which belongs to the government and is not available for alienation, to purchasing parcels that have pending cases in courts or with an active caveat.
Crackdowns have resulted in mass evictions which have seen thousands of Kenyans lose their homes and investments.
Here are mistakes a majority of investors make when purchasing land.
Public Land
Public land is held by the national government in trust for the people of Kenya and is administered on their behalf by the National Land Commission (NLC).
No title deed to, or right or equity in, any lands of the public domain can be acquired by prescription or by adverse possession or occupancy.
“Once land has been set aside as a public utility it is not available for alienation. If that happens then the transfer of ownership is illegal,” Lands CS, Farida Karoney, explained in March 2022.
Gladys Situma, Branch Manager at Fanaka Real Estate, told Kenyans.co.ke that buyers ought to look for market leaders and most preferred land selling companies while buying land to avoid being duped.
“Prior to selling land, we assist the clients to verify the land and see that it has been approved for sale. Every real estate agent ought to provide relevant documentation to the clients before the sale of land,” she stated.
Land Belonging to a Deceased
Fraudsters have kept on manipulating buyers to purchase parcels belonging to deceased persons before succession formalities have been completed.
You may have seen a signage warning you against purchasing a parcel land. Inquiries may reveal that the owner passed away and the kin are entangled in a court case.
Scammers have also been accused of inventing new tricks where they ‘revive’ the dead to seal lands by collaborating with shrewd lawyers and Ministry of Lands officials. Such land is usually sold to multiple buyers.
“It is advisable for any person wishing to deal with land to go beyond the legal obligation of conducting an official search and prod a little more to find out if the person has good title to the land,” a court ruling in a land succession case spelt in 2018.
Kenyan law clearly stipulates how land is transferred from the person who has died to the successors.
Riparian Land
The Kenyan law defines riparian land as that located a minimum of 6 metres and up to a maximum of 30 metres on either side of a riverbank from the highest watermark.
A river’s width and water volume define the distance used to measure riparian land. The government is obligated to demolish structures build on riparian land and seize the parcel.
“As a buyer, you need to know pitfalls to avoid and safeguards to take when purchasing land lest you find yourself deep in endless court battles or having lost your hard-earned money to swindlers or your investment being demolished because it is built at the wrong place such as a riparian reserve,” Onyango & Taurus Advocates advises on its website.
Hasty Land Development
A buyer is advised against developing land prior to obtaining necessary approvals from the National Lands Commission, the Ministry of Lands and the respective County Government.
Realtors Land Institute advises buyers to have the land inspected by professionals prior to purchase.
“Also test the soil before you can develop the property, inspect access to the property, topography, how the community develop the land.
"Ask for new maps and have a surveyor look at the property lines. Do not rely on the old maps. Don’t take risks, an inaccuracy could eventually cost you a lot of money,” the institute cautions.
Leasehold Land
Leasehold land is where a parcel is given out for a specific period subject to payment of a fee or rent to the grantor.
The rates are channelled to the respective lands offices. The government leases public land, while county governments and individual landowners can also lease trust and freeholds respectively.
Freehold lands are offered with undefined lease periods as the time frame is agreed upon between the owner and the leasing party. The government offers between 33 and 999 years of the lease.
Real estate firms always avoid listing leased lands as part of parcels for sale.
Not Fencing Land
Fencing indicates that the land is secured and one can be sued for trespassing.
It also creates a boundary and promotes privacy, as well as protecting the parcel from interferences like the creation of illegal roads and passages, grazing and developments.
Other mistakes include paying booking or commitment fees before viewing the land and paying deposits before signing written sale agreements.
