Many Kenyans living abroad opt to participate in the real estate market for a variety of reasons, including the potential of a good return on investment, the desire to own property in their home country, and the desire to possess a place to retire.
According to a poll conducted by the Norwegian-based accelerator company Pangea Trust, approximately 36% of the Kenyan diaspora brought money home to buy stocks and invest in private equity or venture capital-related securities.
The real estate and construction sectors received the majority of private diaspora investments, with 29 percent, or roughly one out of every three diaspora individuals surveyed, admitting having invested in the sector.
The survey further pin points that most of the private diaspora investments went to the real estate and construction sectors, with 29 percent, or nearly 1 out of 3 of the diaspora members surveyed, indicating having invested in the sector.
Kenya’s real estate industry has seen tremendous growth due to Kenyans in the diaspora, which has resulted in high demand for parcels of land across Nairobi and the metropolitan areas such as Malaa, Joska,Kamulu, Ruiru, Ngong, and Kangundo Road, to name a few.
According to Denver Group Limited’s research, among the key factors that increase demand for land and properties in such areas are a good road transport network, which eases the movements of public service vehicles and private automobiles, and the advancement of other social amenities such as electricity supply, hospitals, schools, and security administration posts.
According to the Denver Group, most plots, which range from 100 by 50,1/8-acre property to 1/4 acres, are the most sought-after parcels of land on the outskirts of the city and within the Nairobi metropolitan area.
Many real estate businesses in such areas, such as Denver Group, have devised simple and affordable payment mechanisms, with prices ranging from Ksh 580,000 to Ksh 2 million, in which one can pay only 20% of the actual cost and the remaining balance spread over six months of instalments.
Above all, to prevent falling victim to fraudsters and court fights, make sure any property you wish to purchase has a real title deed that is also verifiable.