.jpg) |
| Dhahabu Lands Limited Managing Director Peter Kamau |
The Government has been urged to consider dropping its plan to hike land fees to woo more investors in the country.
Investors and stakeholders in the land sector maintain that hiking land taxes will lock out many Kenyans from owning properties.
The Kenya Kwanza Government through the Ministry of Lands, Housing and Urban Development has been planning to increase service fees levied on lands as it seeks to cast its revenue net wider.
Among the fees proposed to be hiked include land registration fees, the cost of official land search which will double to Sh2000, fees on registration of documents including deeds of indemnity, agreements, contracts and trust deeds which will rise to Sh50,000.
Players in the Real Estate sector however say that this move will not only impoverish Kenyans seeking to buy land and homes but will scare potential investors who are key in turning around the country’s economy.
Led by Dhahabu Lands Limited Managing Director Peter Kamau, the sector stakeholders urged the government to be considerate of the current economic situation in the country before it revises the land taxes upwards.
Speaking while issuing over 700 title deeds to the firm’s investors in Ruiru on Saturday, Kamau said that while taxes are imperative for the country’s economic growth, the government should consider gradual increment of the land fees.
This, he said, is to allow Kenyans who are grappling with the high cost of living access the crucial services.
“We understand that the government needs to collect revenue to spur developments across the country but we are pleading for leniency on land matters. We want many Kenyans to own properties and better their living standards but more taxes will lock them out,” he said.
He however hailed President William Ruto’s administration for shelving plans to increase rates and introduce more punitive laws.
He pointed out the withdrawal of the Land Amendment Act 2023 that had been sponsored by Kikuyu MP and the National Assembly Majority Leader Kimani Ichung’wa.
“We are glad that we have a listening government. After we raised our concerns on plans to tax freehold lands, they listened and dropped the Bill,” Kamau said.
Meanwhile, Kamau called on Kenyans planning to invest in land or homes to do proper due diligence before investing their hard-earned money to avoid falling prey to criminals purporting to sell land.
He noted that Kenyans have lost billions of shillings to unscrupulous individuals and land-buying firms in fake land deals.
He urged Kenyans not to be in a hurry but to take time to conduct searches, companies’ profiles and track records before investing their resources.
“It’s imperative to do background searches on land buying and selling firms before investing a coin to avoid falling prey to criminals disguised as land sellers. Thousands of Kenyans have been conned for failing to do due diligence,” he said.
Kamau also told Kenyans to take advantage of the current economic hardships to buy land saying tha this is the most opportune time to invest in land since most individuals or firms are disposing of their properties.
Investors led by Beatrice Wangari echoed Kamau’s sentiments saying that millions of Kenyans eyeing to own homes or properties will have their dreams shattered should the government implement tax hikes.
Wangari said that the government should create proper policies that will enable Kenyans to purchase land at low costs so as to fully actualize its affordable housing agenda.
Monica Muthoni, another investor called on youths in the country to invest in land so as to secure their future.
“We are calling on youths to invest in properties for the sake of their future instead of spending their money on alcohol and other luxuries,” Muthoni said.
by the star