TITLE DEEDS IN KENYA
Title Deeds in Kenya: Understanding the Basics
In Kenya, the existence of a title document serves as evidence of land and property ownership. Land is a precious and frequently thorny resource in Kenya. It plays important roles in peoples’ lives as a means of subsistence, an avenue for investment, and a representation of wealth and social standing. In this blog, we shall examine the fundamentals of Kenyan title documents, their significance, and the procedures involved in issuance of the title documents.
What is a Title Deed?
A title deed is the name of the legal document that certifies a person’s ownership and rights over land. It is an official document issued by the government to a landowner and serves as conclusive evidence of land ownership unless cancelled through legal means. It gives the owner of the land the right to use and exploit land as he/she/it may wish and subject to conditions as may be imposed by the government. It includes important details about the property, including its ownership details, location, size, borders, and any encumbrances or restrictions that may be related to it. The Ministry of Lands and Physical Planning is the Kenyan government body in charge of granting title documents.
Types of Title Deeds in Kenya:
1. Freehold Title: This type of title deed that allows the owner absolute and indefinite ownership rights over the land. This means the land owner of a freehold title is not restricted on how to use the land and is free to use it as he/she/it may wish. There is also no time limit in the occupation and usage of the land. Freehold titles are typically issued for land in locations considered to be agricultural areas and are not subject to leasehold terms or restrictions.
2. Leasehold Title: Leasehold title deeds provide the holder with the right to use and occupy the land for a specific period being 99 years. Initially, before the Constitution of Kenya, 2023 government used to issue leasehold period of 999 years and there are still leasehold landowners on the 999-year term. The land is leased from the government who is the owner of the land, and the leaseholder enjoys most ownership rights during the lease period. Leasehold titles are normally issued with conditions such as payment of land rent and rates, restriction on transfer without obtaining relevant consents, development control, use of the property, timelines for the development of the property etc. Upon the expiry of the lease period, the owner is supposed to apply for renewal of the term failure of which the land or property goes back to the government.
3. Sub-Lease Title: A sub-lease title deed is issued when a leaseholder grants someone else the right to occupy and use the land or property for a shorter period than their leasehold title. The sub-lessee does not have a direct relationship with the government and must abide by the terms of the original lease together with the conditions that the owner may set.
4. Sectional titles: These are titles that are issued to individual owners of units within a building. They could either be freehold titles or leasehold titles depending on whether the mother title on which the building was constructed was a freehold or leasehold title. Structures such as apartment blocks can have each apartment demarcated and issued with its own individual title.
The Importance of Title Deeds:
Title deeds play a crucial role in safeguarding land rights and promoting economic development. Here are some key reasons why title deeds are important in Kenya:
● Ownership Protection: Landowners are given legal protection by title deeds, which stop unauthorized parties from intruding on their property or asserting ownership without supporting documentation.
● Transfer of Ownership: Title deeds make it easier for parties to exchange ownership of real estate. A legitimate title deed facilitates a seamless and legally binding transaction when selling or buying land. As for Cherd Africa, we transfer ownership from us to you as a new homeowner. We give you a lease hold title of 99 years.
● Access to Credit: Collateral for loans from financial organizations can be land that has a clear and registered title deed. Landowners can more easily obtain financing and make investments in their properties thanks to title deeds, which give legitimacy and certainty to lenders.
● Dispute Resolution: Title deeds are important pieces of evidence that are used to settle disputes involving real estate. They serve as a formal record of ownership and aid in conflict resolution through the legal system.
The Title Deed Acquisition Process:
Acquiring a title deed in Kenya involves several steps, including:
1. Land Search: Conducting a land search at the Ministry of Lands to verify the ownership, history, and any encumbrances or restrictions associated with the land. The owner of the land will normally give to the purchaser the title documents so that the purchaser can conduct the due diligence and get facts about the land.
2. Survey and Subdivision: Engaging a licensed surveyor to measure and subdivide the land, especially when dealing with large tracts or subdividing for multiple owners.
3. Application for Land Allocation: Submitting an application for land allocation, including necessary documents such as an identity card, land maps, and survey plans, to the Ministry of Lands.
4. Contract negotiation and signing of the agreement and the transfer after which parties exchange title and money in a process known as completion.
5. Land Control Board Approval: If the land falls under the jurisdiction of the Land Control Board, obtaining their approval for the land transfer or allocation.
6. Consent from Relevant Authorities: Obtaining consent from relevant authorities, such as the local county government or the National Environmental Management Authority (NEMA), Kenya Airports Authority, the Kenya Railways Corporation, if applicable.
7. Payment of Stamp Duty and Registration Fees: Paying the requisite stamp duty and registration fees at the Lands Office.
8. Issuance of Title Deed: Once all requirements are met, the Ministry of Lands will issue the title deed to the rightful owner.
9. It is important to note that the process and requirements may vary depending on the type of title deed, location, and specific circumstances. Seeking professional guidance from advocates, land surveyors, or land agents can help navigate the complexities of acquiring a title deed in Kenya.
Case of Pinebrook Premier Villas
In Kitengela, we are working on a project called Pinebrook Premier Villas. For the land that the estate is situated on, we have a mother Title deed that is a Freehold title. It will have a leasehold title for each of the 56 plots that make up the subdivision. You will receive a leasehold title after completing the purchase of a unit, and it only takes 14 days. In the event that the leasehold title expires, Pinebrook management will extend the leasehold on the owner’s behalf. As a result, you won’t have to deal with the hassle of renewing a leasehold title. Land rates and land rent are included in a portion of the service charge of 5000ksh that is paid monthly.
Visit us in Kitengela, behind the GMC restaurant, along Nairobi Namanga Highway, if you have the time. We have three and four bedroom apartments for sale. Our houses are incredibly lovely and have flat roofs, which we have adopted. DSQ, en suite bathrooms in every bedroom, balconies, and a clubhouse with a shopping centre, gym, and spa are the amenities. Secure your ideal house by booking with just 50K.
Conclusion
In Kenya, title deeds are essential legal records for landowners. They support property transactions, offer security, and promote economic development. Anyone interested in owning land or a home in Kenya must have a thorough understanding of title deeds, including the many varieties, their significance, and the procedures involved in obtaining them. I hope this blog post has provided you some insight into Kenyan title deeds and their significance.