Why you should be careful when buying a home in Kenya
The need to be well informed before making huge investments such as buying a home or land cannot be emphasized enough. Here are some tips that will help you.
The investment plan started in 2015 and it promised to allow prospective home owners obtain a home under an Islamic financing product, Musharakah, without being charged any interest on the mortgage price.
The deal was for home owners to co-own the houses with a Sacco registered under Simple Homes until they fully paid for them.
However, the dream was never to be realized after clients, who had paid up hundreds of thousands of shillings in upfront deposits and membership charges, a few days ago discovered that the firm’s offices in Westlands’ Centenary House were shut while customer care lines had been disconnected.
The explosive scandal hit headlines and went viral on social media as investors cried foul over the deal gone wrong.
The need to be well informed before making huge investments such as buying a home or land cannot be emphasized enough.
Here are some tips that will help you:
Conduct a search at the land registry to make sure that the property being sold to you actually exists and it is not on a road reserve.
The land search will also reveal the list of the land owners and how genuine it is.
After conducting the search, you will want to carry out more valuation from reliable people on the ground such as neighbours, surveyors or advocates.
This is important because at times cons can be in cahoots with officials at the land registry who will falsely verify the authenticity of the land.
Apart from this, it is imperative to conduct a search at the Survey Office of Kenya, just to verify that the deed plan is also in order, the parcel of land exists, and that the Land Reference Number (LR) tallies.
Also you would want to involve Valuers to help you estimate the price of the land or home you are purchasing so that you are not conned.
Avoid using middle men when purchasing land or homes instead seek the services of a qualified and registered estate agent.
Ensure that the property is structurally sound before committing to a mortgage.
Research widely and never sign a deal blindly. Always seek to verify every detail.
JOIN OUR PULSE COMMUNITY!
Eyewitness? Submit your stories now via social or: