Buying off-plan property in Kenya: a 12-point checklist

Off-plan homes are sold before or during construction, usually at a discount to the finished price and with an instalment plan. The risk is that you are paying for something that does not exist yet. Stalled projects, late handovers and units that differ from the brochure are common complaints. This checklist covers what to verify first.

The developer

1. Track record. Visit projects the developer has already completed and talk to the owners. Ask how late handover was.
2. Company details. Get the developer's certificate of incorporation, KRA PIN and a current CR12. Confirm which company actually owns the land and will sign your agreement.

The land and approvals

1. Title search. Do an official search on the land. Check for charges: many projects are financed by a bank loan secured on the land, which must be dealt with before units can be transferred to buyers.
2. County building approval. Ask for the approved building plans and the approval letter, and check that the number of floors and units matches what is being built.
3. NEMA licence. Larger developments need an environmental impact assessment licence from NEMA.
4. Contractor registration. The main contractor should be registered with the National Construction Authority (NCA) in the right category, and the project registered with NCA.

The money

1. Payment plan tied to progress. Prefer plans where instalments follow construction milestones certified by the project's quantity surveyor or architect, rather than fixed dates.
2. Where your money goes. Ask whether deposits are paid into an escrow account or a project account, and who controls it.
3. Total cost. Clarify who pays for the sectional title, legal fees, utility connections and the initial service charge deposit.

The agreement

1. Completion date and penalties. The agreement should set a handover date and say what happens if it is missed: compensation, a right to cancel and a refund timeline.
2. Specifications. Attach the floor plan and finishes schedule so the unit you receive matches what you bought.
3. Title on completion. Confirm you will receive a sectional title and the timeline for issuing it.

Before final payment

Inspect the finished unit with a snag list and withhold the final instalment until defects are fixed or agreed in writing.

Frequently asked questions

Is buying off-plan in Kenya safe?

It can be, with an established developer, a clean title, full approvals and a well-drafted agreement. The main risks are delays and non-completion, so the checks above and a good advocate matter.

What happens if an off-plan project stalls?

Your remedies depend on the agreement. This is why refund rights, penalties and escrow terms should be agreed before you pay, with your own advocate reviewing them.

Can I get a mortgage for an off-plan property?

Some lenders offer construction-phase or developer-partnered financing, but many only lend once the unit is complete and titled. Check early.