How overseas buyers buy property in Kenya

What to know first

• GDP growth projected at 5.3% for 2026 per the Central Bank of Kenya, with inflation contained within the 2.5–7.5% target band (4.4% as of March 2026)
• The Kenyan shilling has been notably stable through 2026 — roughly 0.10% volatility over recent 30-day windows — a meaningfully calmer currency profile than Uganda's shilling or the Egyptian pound
• Foreigners cannot hold freehold land — the Constitution (Article 65) automatically caps any foreign-held interest at a 99-year leasehold, even where a freehold title is nominally purchased
• Nairobi's Riverside Park and Westlands corridor is a concentrated, diplomatically-adjacent zone for new international-branded residential towers
• Reportage is currently the only international developer building in Kenya on PropSentral, with a project in Nairobi's Riverside Park

The general process

1. Confirm what foreigners may own in Kenya and in which areas.
2. Set your budget in KES, including taxes, fees and currency costs.
3. Shortlist areas and check the developer or seller.
4. Appoint an independent local lawyer before paying anything substantial.
5. Reserve, sign the contract, and pay through the approved channel.
6. Complete registration, and take tax advice in both countries on any rent or sale.

The exact steps and order differ by country and by project.

Financing for foreign buyers

Maximum loan to value

Limited for non-resident foreigners — Kenyan mortgage lending to non-residents is comparatively underdeveloped

Typical rate

CBK lending rate 8.75% (April 2026) + bank margin — commercial mortgage rates typically run materially higher

Notes

Most foreign buyers purchase in cash or via developer instalment plans; confirm current bank policy directly before assuming financing is available

Residency through property

Programme

Standard work/residence permit — no dedicated golden-visa-style investment-residency program identified

Timeframe

Renewable, tied to permit validity

Taxes and running costs

Income tax on rent

10% flat on gross residential rental income for resident individual landlords (Finance Act 2026); non-resident landlords face a proposed final withholding tax of 30% on gross rent from immovable property

Capital gains tax

15% on net gain from property sale (standard CGT rate)

Transfer tax or fees

Stamp duty ~2–4% of transaction value, varies by land classification and location

Annual property costs

Local county land rates apply, vary by county and property value

Area guides in Kenya