Buying an apartment is a dream for many, offering a sense of security, investment potential and a place to call home. But in Kenya, this dream can quickly turn into a nightmare if you fall victim to real estate scams. From fake ownership documents to unfinished projects, scammers are becoming more sophisticated and unsuspecting buyers are losing millions. But don’t let fear stop you from achieving your dream! With the right knowledge and precautions, you can navigate the real estate market safely and confidently.
Here’s how to protect yourself when buying an apartment.
- Verify Ownership and Title Deed
One of the most common scams is selling apartments without legitimate ownership documents. To avoid falling victim:
- Conduct a Title Search: Visit the Ministry of Lands or check online via the eCitizen portal to confirm the authenticity of the title deed. Ensure that the owner’s name and property details match the official records.
- Check for Liabilities: Confirm that the apartment is not tied to any loans, legal disputes, or other encumbrances. This step will help you avoid buying a property with hidden complications.
- Research the Developer’s Reputation
Unfinished apartments are a common trap. Some developers disappear after collecting payments, leaving buyers stranded. To protect yourself:
- Look into the Developer’s Background: Investigate their past projects and talk to previous buyers. Online reviews and testimonials can give valuable insights into the developer’s reliability.
- Verify Licensing and Accreditation: Ensure that the developer is registered with the National Construction Authority (NCA) and other relevant bodies. Reputable developers are transparent about their credentials.
- Confirm Project Approvals and Permits
Before making any payments, make sure the project is legally approved:
- Check for Building Permits: Verify that the developer has obtained the necessary permits from the county government, environmental agencies, and other regulators.
- Visit the Construction Site: See the project’s progress for yourself and confirm that it aligns with the developer’s promises. Ensure that essential amenities like water, electricity, and security features are in place.
- Involve Trusted Professionals
Navigating real estate transactions can be complex, so it’s wise to seek professional help:
- Hire a Real Estate Lawyer: A lawyer will review all contracts, verify documents, and ensure a legally sound transaction.
- Use a Licensed Surveyor: A surveyor will confirm the apartment’s location, size, and boundaries, preventing future disputes.
- Make Secure Payments
Scammers often request cash payments that can’t be traced. To avoid this:
- Pay Through Bank Transfers or Cheques: These methods are safer and leave a clear transaction record.
- Use Escrow Services: An escrow account securely holds your payment until all conditions are met, guaranteeing a safe and transparent transaction.
- Get Proper Documentation
Never make payments without proper documents. Insist on the following:
- Sale Agreement: This document should clearly outline the price, payment schedule, apartment details, and completion timelines. Always have your lawyer review it before signing.
- Proof of Ownership: Ensure you receive a title deed or share certificate, confirming ownership of the apartment.
- Receipts for Payments: Keep records of all payments, including deposits and installments. These will protect you from disputes.
- Watch Out for Red Flags
Scammers often use high-pressure tactics and too-good-to-be-true deals. Be cautious of:
- Unrealistic Prices or Discounts: Extremely low prices are usually a red flag.
- Pressure to Pay Immediately: If you’re being rushed to make payments, investigate further before proceeding.
- Lack of Original Documents: If the seller can’t provide original title deeds, permits, or other documents, walk away.
Conclusion
Buying an apartment in Kenya is a significant investment and it should be a joyful experience, not a stressful one. By being vigilant, doing your research and involving trusted professionals, you can safely navigate the real estate market and secure your dream home.
