Here is how to invest in Real Estate in Kenya if you are a beginner
Investing in land in Kenya can be a lucrative option for various reasons. When you invest in land, you will enjoy several monetary and administrative benefits. Why is land in Kenya among the best investment options? Here are six compelling reasons to consider buying land as an investment in Kenya:
Rapid urbanization is now an irresistible reality in Kenya thanks to the growing population and increasing urbanization rates. As more people move to cities and towns, the demand for land for residential, commercial, and industrial purposes is rising. Investing in land in areas meant for urban development can lead to substantial capital gains as land values appreciate.
2. Limited Supply
Land is a finite resource, and the supply is limited in many prime locations, especially in major cities. Kenya’s land resources are not infinite, and as urban areas expand and infrastructure projects develop, the availability of well-located land becomes scarcer. Limited supply often leads to increased land values over time. As a land investor, you stand to sell your land at huge prices.
3. Infrastructure Development
The Kenyan government has significantly invested in infrastructure development, including roads, bridges, airports, and railways. These developments enhance accessibility to previously remote areas, making land in these regions more attractive to investors. Buying land near planned or ongoing infrastructure projects can result in significant appreciation.
4. Agriculture and Tourism
Kenya is renowned for its agriculture and tourism sectors. Investing in land suitable for agriculture, such as farmland or horticultural land, can provide a steady income stream through crop production. Additionally, land near tourist attractions or wildlife reserves can be attractive for eco-lodges, Airbnb, hotels, or other tourism-related ventures.
5. Government Policies
The Kenyan government has implemented policies to encourage investment in the real estate sector. These policies include incentives for developers and investors, such as reduced taxes and streamlined permit processes. Staying informed about these policies can help you make informed investment decisions.
5. Diverse Investment Options
Kenya has a diverse range of investment options, from agricultural land and urban plots to land for commercial or industrial purposes. Investors can tailor their land investments to their preferences and risk tolerance. Diversifying your land portfolio can mitigate risks and enhance potential returns. Nevertheless, you need to identify the type of zoning where you intend to buy land.
6. Limited Management
Unlike other investments, land requires little or no management. You dont need to give it much attention, which greatly saves money. Consider land investment if you are too busy with upkeep, tenants, or management challenges.
Additionally, land investment attracts cheaper expenses, unlike other investments. Since it’s vacant, you avoid the cost of utilities and pay less taxes.
Land differs in various ways in Kenya. This includes size, shape, and location. This reduces competition significantly, unlike in other investments that may be similar. If you don’t want stiff competition in your investment journey, consider investing in land.
8.No Expertise Required
When it comes to land investment, one is not required to be an expert. Besides, you can make money on the land in various ways. For instance, you can leave it appreciation in value for resale or lease it out. The case is different for other investments because you will need some expertise.
9. Land is affordable
In Kenya, you will always get a piece of land for the money you have, no matter how little it is. For instance, in areas like Matuu and Malindi, you can get a piece of land from as low as 150,000. The amount can even be paid in installments.
Additionally, you will be at peace since there are no additional costs once you purchase.
Land ownership in Kenya is a great investment. Nevertheless, you need to conduct thorough research and due diligence before buying. You should consider market trends, location, land title documentation, and the risks involved in land investment.
This blog has highlighted the solid-rock reasons why buying land in Kenya is a good investment option. This knowledge will help you decide which investment path to take. If you need land, visit Denver Group Limited, become a land investor, and enjoy all the above benefits.