LAND BUYING DUE DILIGENCE PROCESS
This is the process of verifying the legal and physical status of the land before you purchase, transfer or develop. It prevents future disputes, and losing your hard-earned money.
- Conduct an Official Land Search
This is done at the ministry of lands registry office, where land is located.
It confirms, registered owner, title deed status, cautions, restrictions or charges, ownership history and measurements of the land.
- Verify the Title Documents
Confirm if its genuine, that is seller’s identification documents match with the title deed and search certificate results, survey or mutation plan shows correct measurements on the Ground.
3.Ground Verification and Beacon Confirmation
With help of a licensed surveyor, confirm boundaries and beacons, verify acreages, ensure land has no encroachment.
- Check Planning & Land use Status
Confirm, zoning regulations, access roads, riparian or public utility restrictions, county approvals.
- Verify Ownership History
It’s recommended you carry out a green card search., ask your lawyer to help you in that. Succession status if it’s an inherited land.
- Prepare a Sale Agreement
A real estate or conveyance lawyer prepares agreements which captures the following; terms of payment, and protects rights of all the parties involved and complied until transfer is done. Have a third party to witness the agreement and spousal consent is very important. The lawyer drafts an affidavit for the spouse to sign.
The lawyer also prepares consent documents to be submitted to land board. Sellers pays for the consent, while agreement is paid by the two parties.
- Transfer and Registration
Finally, after paying the seller all the money and acknowledgement is done, the buyer signs the title transfer documents, pays stamp duty to the KRA and presents the receipt as proof for the transfer to be registered at the land registry offices.
Lastly, carry out the land search again to confirm that the changes have been registered on the green card by the registrar.
Land investing is a process and not an event, know the steps and follow the religiously.
