[BUYING AND SELLING REAL ESTATE IN KENYA]
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E. The parties pay their advocates legal fees for acting for them in the transaction. Usually, each party pays its own advocate. A guide on the legal fees payable is contained in the Advocates Remuneration Order, 2014. Advocates may opt to follow the Remuneration Order or charge a higher fee as agreed on between the parties. VII. OTHER CLOSING DOCUMENTS a. The instrument of conveyance in triplicate, which must be signed, dated and witnessed by an advocate b. Copies of the parties’ tax certificates (PIN) and identification documents (identity card or passports). c. In the event of a transmission, the certificate of grant. d. Three colored passport-sized photographs e. In the event of conveyance of a leasehold title interest, a rent clearance certificate and consent to transfer/charge are required. In the event of agricultural land, the Land Control Board Consent f. Stamp duty/capital gains payment slip g. Any other document required or requested by the regulatory body. h. Residential Properties: Seller has to have a smoke/carbon monoxide detector in VIII. RECORDING REAL ESTATE DOCUMENTS a. An application to register interest in land is made to the Land Registrar in the approved statutory format. b. There is a land registry that registers all dispositions in land, and the land registry maintains a record of all transactions in the land register
c. The registrar shall issue the relevant document upon completion of the conveyance transaction IX. ANNUAL COSTS FOR PROPERTY OWNERSHIP a. Annual land rent paid annually as indicated in the title deed. Annual land rent is payable only in leasehold titles. Estate that are held as freeholds are not subject to any yearly rents. b. Rates payments payable to the county government at the rate assessed X. THE SECTIONAL PROPERTIES REGIME The sectional properties system has completely changed how people own apartments and flats in Kenya. Off-plan projects are currently the most common type of property in the country. As more and more high-rise buildings go up in Kenya's cities, it has become increasingly important to have a clear, safe, and up-to-date way to determine who owns what. This need led to a gradual shift from the old system of long- term subleases to the more efficient, owner- focused system of sectional titles. You can get sectional titles for land that is either freehold or leasehold, as long as the leased land has at least 21 years left on the lease and there is a clear intention to give ownership. The first step in getting a sectional title is to prepare a sectional plan based on the approved building plan. A licensed surveyor must make and sign this sectional plan. Every sectional plan must have a geo-reference and must clearly: • Show the mother title of the parcel; • Include detailed drawings of the units, with each unit clearly numbered; • Show the approximate floor area of each unit;
ILN Real Estate Group – Buying and Selling Real Estate Series
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