For many Kenyans, owning a home feels like an unattainable dream due to one major hurdle: the high cost of land. But what if you could own a home without having to buy land?
High Cost of Land
The 2023-24 Kenya Housing Survey Report from Kenya Bureau of Statistics (KNBS) confirms what many already know, land is expensive. The report found that:
49.3% of homeowners inherited land, making inheritance the most common path to homeownership.
21.6% of homeowners chose their location based on affordable land prices.
17.8% of respondents cited land costs as a key barrier to housing development.
According to the latest data from Hass Consult, the price of a 50x100 parcel in satellite towns near Nairobi ranges from Sh2 million to Sh13 million, a cost that could easily match the price of building a house.
The good news? You don’t need to own land to own a home.
What the Law Says
Traditionally, homeownership in Kenya meant owning both the house and the land it sits on.
However, the Sectional Properties Act (2020) has changed this by allowing Kenyans to own individual housing units without buying land.
Under this law, when an apartment building is converted into sectional property:
Each homeowner gets a title deed for their housing unit.
The land is jointly owned by all unit holders.
This means that instead of struggling to afford land, Kenyans can now purchase homes in apartment buildings and enjoy full ownership rights.
The Cost of Apartments in Kenya
According to the 2023/2024 Real Estate Survey Report by KNBS, the cost of apartments sold by private developers varies based on size.
For example, a one-bedroom apartment in Nairobi costs an average of Sh6.4 million, while a three-bedroom unit is priced at Sh13.5 million.
According to the latest CBK data on mortgage rates, the average rate is 14.3%, meaning that financing for a Sh6.4 million house could attract monthly payments of up to Sh120,000 for 11 years.
While these prices may still be high for many Kenyans. The government has proposed the AHP program for Kenyans who aspire to be homeowners but can not afford to buy from private developers.
READ: Why majority of Kenyan homeowners still prefer to rent
The Affordable Housing Program (AHP)
The government has proposed the Affordable Housing Project. Prices start at Sh840,000, with three-bedroom houses going for a maximum of Sh6 million.
Under the rent-to-own scheme, tenants can gradually pay for their homes over time, converting what would have been rent into homeownership.
Monthly payments range between Sh9,000 and Sh20,000, depending on location and unit size.
Steps to Own a Home Without Buying Land
So, if you want to own a home without purchasing land, here are your options:
Consider Sectional Property Ownership – Look for apartments where land ownership is shared.
Apply for the Affordable Housing Program (AHP) – Register on the government’s Boma Yangu portal and enroll in a rent-to-own scheme.
Explore SACCO Housing Projects – Many cooperative societies offer affordable housing without requiring individual land ownership.
Use Home Loans & Mortgages – Banks and SACCOs provide financing for sectional properties, making ownership more manageable.
The belief that you must buy land to own a home is outdated. Thanks to changing times, affordable homeownership is now within reach even for those without land.
By leveraging sectional property ownership, rent-to-own models, and other affordable options, Kenyans can achieve their dream of homeownership without the burden of land acquisition.