One of the questions we hear most from international clients is simple: can a foreigner legally own property in Kenya? The short answer is yes. Non-citizens can own apartments and other property in Kenya, but there are rules about the type of ownership they can hold. This guide explains how it works in plain language.
Please note this article is general information, not legal advice. Always work with a qualified Kenyan advocate before buying.
Leasehold, not freehold
Under Article 65 of the Constitution of Kenya, non-citizens can hold land only on leasehold, for a term of up to 99 years. They cannot hold freehold land. If a non-citizen acquires a freehold interest, the law treats it as a 99-year lease.
For apartment buyers, this rarely causes problems. Most apartments in Nairobi are already sold on leasehold, so foreign buyers purchase on essentially the same terms as Kenyan buyers.
Buying an apartment as a foreigner
Apartments are one of the simplest ways for non-citizens to own property in Kenya. Each unit is typically registered with its own sectional title under the Sectional Properties Act, 2020, which gives you clear ownership of your unit and a share of the common areas.
Before buying, check how many years remain on the head lease for the land the building sits on, and confirm when your sectional title will be issued.
What foreigners cannot easily buy
Agricultural land is restricted. Under the Land Control Act, transactions involving agricultural land generally need approval from a Land Control Board, and non-citizens face significant restrictions. Residential apartments and urban property are the practical route for most foreign buyers.
Buying through a company
Some buyers hold property through a company. A company is treated as a citizen only if it is wholly owned by Kenyan citizens. If any shareholder is a non-citizen, the company is subject to the same leasehold rule.
Diaspora Kenyans
Kenyans living abroad remain citizens, and since the 2010 Constitution, Kenyans can hold dual citizenship. If you are a Kenyan citizen, the leasehold restriction does not apply to you, even if you also hold another nationality.
Many diaspora buyers purchase remotely. A registered power of attorney allows a trusted person or your advocate to sign documents and complete the transaction on your behalf.
The buying process
The steps for a foreign or remote buyer are broadly the same as for any buyer:
- Get a KRA PIN, which is required to register property
- Choose your apartment and agree on the price
- Instruct a Kenyan advocate to run an official title search on Ardhisasa
- Review and sign the sale agreement, usually with a 10% deposit
- Pay the balance through your advocate or the developer's designated account
- Pay stamp duty, currently 4% of the value for urban property
- Register the transfer and receive your title or sectional title
Never send money to a personal account or to bank details shared only by WhatsApp or email. Always confirm payment details directly with your advocate.
Taxes to know about
- Stamp duty: 4% of the property value in urban areas
- Rental income: residential landlords pay monthly rental income tax on gross rent
- Capital gains tax: 15% on the gain when you sell
Kenya does not restrict the movement of foreign currency, so you can generally bring in funds and repatriate proceeds through the banking system. Keep clear records of where your funds came from.
Final word
Kenya is open to foreign property buyers, and apartments in Nairobi neighbourhoods such as Kilimani, Westlands, Kileleshwa and Riverside are a practical, secure way to invest. The key is to understand leasehold rules, work with a good advocate and verify every document.
Njogu Real Estate works with international and diaspora buyers who are purchasing in Nairobi, including those buying remotely. Book a consultation through our Contact page and we will walk you through the process.