Why its risky in investing in real estate in Kenya

Real estate refers to property that includes land and buildings, as well as natural resources such as crops, minerals, or water; immovable property of this nature. Real estate investments can include residential properties, commercial properties, and industrial properties.

Investing in real estate in Kenya can be risky due to several reasons:

1. Lack of clear property rights: Issues with the transfer of ownership or disputes over property can arise.
2. Uncertain economic conditions: A fluctuating economy can impact real estate prices and rental yields.
3. Corruption: Corruption in the government and real estate industry can lead to fraud, misrepresentation and mismanagement of funds.
4. Poor infrastructure: A lack of adequate infrastructure and services can make real estate investments difficult to manage and less attractive to potential tenants or buyers.

1. Market saturation: Overbuilding or an oversaturated real estate market can result in lower demand for properties, reducing their value.
2. Political instability: Political instability or civil unrest can negatively impact real estate investments.
3. Natural disasters: Kenya is prone to natural disasters such as floods and droughts which can cause damage to property and reduce its value.

These factors can increase the risk associated with investing in real estate in Kenya and should be carefully considered before making a decision.

What are key steps  before buying a property?

Before buying a property, key steps to consider are:

1. Determine your budget and financial capability
2. Research and choose the location you want to buy in
3. Hire a real estate agent or do your own research to find a suitable property
4. Get pre-approved for a mortgage
5. Inspect the property thoroughly
6. Review the property’s legal documents, such as title deeds
7. Negotiate the price and terms of sale
8. Close the deal and finalize the purchase
9. Obtain insurance and make any necessary repairs.