Selling property in Kenya follows a strict legal path. Each step matters, and skipping one step can stall your sale, drain your money, or even make the deal collapse. Buyers run checks before they commit, and if your paperwork doesn’t match, they walk away. That’s why a steady hand makes all the difference. We help sellers avoid mistakes by guiding them through the process from start to finish.
For a full overview of selling, read the ultimate guide to selling your house in Kenya.
Proof of Ownership and Title Verification
Every property sale in Kenya starts with proof of ownership. You need a valid title deed registered in your name. Without it, no buyer can transfer the land or house into their name. Buyers run their own checks, so the paperwork must be clean before you even begin.
The Ministry of Lands and the Ardhisasa platform give buyers the tools to confirm ownership. A search will reveal who owns the property and if any issues exist. Common problems include unpaid loans where owners used the land as collateral, disputes filed in court, or restrictions by government agencies. These show up in the search and will stop the sale until resolved.
For example, if you used a plot in Thika to secure a loan, the records will show that charge. You must clear that charge before transfer. Without it, the buyer cannot complete the process even if both of you agree on the price.
The title search acts as the gatekeeper. Buyers trust the report more than your word, so sort out any issues before listing. Doing so saves you delays and helps you attract serious buyers.
This is one of the critical legal steps and land checks in Kenya when selling property.
Sale Agreement and Deposit
Once the title checks out, the next step is the sale agreement. An advocate drafts it, and both parties sign before any major money changes hands. This document sets the ground rules of the sale and protects both sides.
A solid agreement covers:
- Property details such as size, location, and title number.
- Price and payment terms.
- You’ll normally put down a deposit of 10–30% of the price.
- It should be clear who pays what. That includes legal fees, taxes, and registration.
- Timeline for completion and handover.
The deposit deserves special care. Buyers usually pay it into an escrow account or let the advocate hold it. That way, funds only move once the agreement is secure. The buyer protects their money from fraud, and the seller gains proof of the buyer’s commitment.
Never hand over large sums without a signed agreement. It might feel like paperwork for the sake of it, but it saves a lot of headaches if things go wrong.
Tax Obligations
Every sale comes with taxes, and skipping them slows everything down. As the seller, you must pay Capital Gains Tax, which is 15% of the profit you make on the property. The buyer takes care of stamp duty, set at 2% in rural areas and 4% in urban areas.
You also need to clear land rates and land rent before the transfer can move forward. If you leave these bills unpaid, the registry will not process the deal. That delay can stretch into weeks or even months as you clear old accounts.
Paying taxes and charges early keeps the process smooth. It also shows buyers that your property is clean and ready for transfer, which helps build their trust in the deal.
Land Control Board (LCB) Consent for Agricultural Land
If you plan to sell agricultural land, you must get consent from the Land Control Board. Without it, the transfer does not hold up in law. The consent process protects families, communities, and the wider public from rushed or unfair deals.
The process runs in a few simple steps:
- Apply at your local Land Control Board office.
- Attend the meeting with the buyer present.
- Pay a small application fee.
- Receive the official consent letter.
Once you have that letter, the transfer can move forward. For example, a family selling farmland in Eldoret must secure LCB consent before any buyer can take ownership. Skipping this step risks making the entire sale void.
Transfer and Registration at the Ministry of Lands
- Get the paperwork ready. That means transfer forms, clearance certificates, tax receipts, and any consent letters.
- Once the paperwork is ready, the seller signs the transfer documents and passes them to the buyer’s advocate.
- The buyer lodges the transfer at the Ministry of Lands.
- The ministry finishes the transfer and puts the new title deed under the buyer’s name.
- These are crucial legal steps to selling a house in Kenya. The process slows down quickly if any papers are missing or fees remain unpaid.
Final Handover and Possession
When the Ministry of Lands finishes the transfer, the seller passes the property to the buyer. This stage often involves passing on the keys, marking boundaries, and switching utility accounts. Sellers must clear all pending utility bills and service charges before this moment. If they do not, the buyer may inherit unpaid debts, which quickly leads to conflict.
Handover may look simple, but it often sparks disputes when agreements lack detail. Clear records and a shared understanding of what “possession” means help both sides close the deal without disputes.
Mistakes Sellers Make When Selling Property In Kenya
Plenty of sellers run into avoidable snags when closing a deal. The big ones stand out:
- Listing without confirming title details.
- Ignoring rates or land rent until the last minute.
- Accepting vague agreements that create disputes.
- Skipping professional checks when the paperwork needs clarity.
These mistakes cause stress and delays. Catching them early saves time and keeps transactions clean.
For help on property valuation, read: how to value your property in Kenya.
How Malluug Realty Kenya Supports Sellers
Selling on your own is tough when the paperwork keeps coming. We step in to simplify the process. We connect sellers with trusted advocates and ensure that you obtain all necessary consents and clearances. We stay on top of deadlines so nothing gets missed. When a report looks complicated, we explain it in clear terms. That support keeps deals moving and gives sellers confidence that every step lines up legally.
To understand ownership rights, read: freehold vs leasehold.