Finding, buying and owning property with the help of Premium Errands Global

Finding land, plot, house or property in Kenya in itself a daunting task. This is compounded by the regulations and requirement processes to have it registered and transferred to your name. This scenario can even get more challenging if you are away from home. Stories abound of people, in the diaspora, being conned of their rightful property ownership. Why? Because they are not around to carry out those processes and ensure they are completed properly and legally. Illegality sets in because the people you trust to follow up things for you are busy, or do not make you a priority. Well! At Premium Errands Global you become a priority.

Over time, we have had our friends in diaspora call us with questions? What do I need to carry out a land search? How can I get a lawyer to help with the transfer of my property? What is the process of obtaining my ownership title deed? This article aims to answer those questions and offer you tips and steps necessary to buy or sell property in Kenya. Let Premium Errands take away your worry.

The first tip is to understand the types of property in Kenya.

Types of Property in Kenya

1.  Free-hold Title Deed

A freehold property is ‘absolutely’ owned. This means that after payment of stamp duty (2% of the property value), it becomes the owner’s property fully, and gives the title holder permission to develop it as they please, without additional payment to any government agency or entity.

2.  Leasehold Title Deed

A leasehold Title is issued by the government within municipalities and is valid for 99 years, renewable for an additional 50 years. In leasehold properties, e.g. Karura, Karen etc., there are activities that one cannot undertake (e.g. burial) as the land remains the property of the government. In addition to stamp duty worth 4% the value of the property, are council rates, tabulated based on the acreage of the property and payable annually on or by 31st December apply. Unpaid council rates attract penalties.

3.   Subtitle

In addition to annual council rates, subtitles also attract stamp duty worth 4% of the value of the property. Subtitles are issued for flats/apartments. Failure to pay annual council rates attracts penalties. Council rates are paid annually on or before every 31st December. Failure to pay council rates attracts penalties. Premium Errands Global can help you to ensure you are upto date with your land rate payments. Talk to us at info@premiumerrandsglobal.biz.

Purchase and/or Sale of Property in Kenya

• Before paying for any property, whether a house, an apartment, small plot or huge tract of land, it is critical to do due diligence. We repeat, conduct due diligence. Nairobi and its environs ni ‘shamba la mawe’ Literally translated as land of stones. You will be sold ‘hewa’ (air).
• Conduct a legal property search to ascertain the ownership of the land and whether the land has any caveats. The serial number on the Title Deed must correspond to what is on the green card. A green card gives the history of the property – the original owner (usually the government) and subsequent owners. It also holds the Registrar’s signature and government seal.
  • A search remains valid for thirty (30) days from the date of issue;
  • Obtaining the map of the property to ascertain the actual location of the property.
• Once the search ascertains the legal owner of the property, the seller can then proceed to do a sale agreement. The government suggests an initial payment of 10% of the purchase price with the balance paid upon completion of the purchase. An agreement is valid for ninety (90) days. However, most sellers will request for 50 – 70% payment upfront.
• Then book a meeting with the Lands Control Board (LCB) who meet once a month. This costs Ksh 1,000. However, there is a special LCB meeting which you can book at Ksh 5,000. The LCB is chaired by the Deputy County Commissioner and issues consent for the land to be sold upon ascertaining that the seller’s family are in agreement to sell. The buyer and seller, as well as the seller’s family, attend the local Land Control Board. The spouse of the seller is required to sign a ‘spouse affidavit’, which declares no objection to the sale of the land.
• The seller fills the Application for Consent of Land Control Board (in triplicate). Both seller and purchaser provide their respective KRA pin numbers, copies of their National Identity Cards as well as their passport photos. The LCB then gives a letter of consent to sell the property and a transfer form is filled. The valuation of the property is then done by a government land officer to determine the stamp duty to be paid. Once stamp duty is paid, and the balance of the purchase price is paid, the Title Deed is then issued, ideally within seven (7) days

What can Premium Errands Global do for you?

• Premium Errands Global will conduct due diligence for you; provide you with GPS of the property, the right ownership of the property and its history (caveats etc)
• Premium Errands Global will conduct a search for you – You just need to provide a copy of the title deed of the property and your copy of ID
• Premium Errands Global will obtain and negotiate with a lawyer to carry out sale agreements for you
• Premium Errands Global will follow through the process, updating you throughout to ensure that you obtain your land ownership deed.