Can I Get A Loan With My Title Deed In Kenya?

Can I Get A Loan With My Title Deed In Kenya?

Can I Get A Loan With My Title Deed In Kenya?

Yes, it is possible to get a loan in Kenya using a title deed as collateral. The eligibility for such loans depends on the type of loan and the lender’s specific requirements.

This type of loan is known as a title deed loan and involves the use of a valuable asset, such as a land title deed, as security. Various financial institutions in Kenya, including banks, microfinance firms, and credit companies, offer title deed loans,

The process of securing a loan with a title deed typically involves several steps. First, you need to submit your application to the financial institution, along with the required documents.

 These documents usually include a copy of the title deed, a valuation report of the property, and possibly other documents such as a copy of your National ID, KRA pin certificate, and bank statements

The amount of loan you can get typically depends on the market value of the property. Some institutions may lend up to 40-50% of the market value of the property.

However, the exact amount also depends on other factors such as your income, age, qualifications, number of dependents, spouse’s income, assets, liabilities, stability and continuity of occupation

The repayment period for title deed loans can vary, but it is typically between 3 to 24 months. The Annual Percentage Rate (APR) can also vary among different institutions, with some offering as low as 13.5% PA (1.2% per month) and others as high as 36% (3% per month).

It’s important to note that the property used as collateral for the loan is typically subject to a first and exclusive charge, which means that the lender has the right to take possession of the property if the borrower fails to repay the loan

Eligibility for Title Deed Loans

  • You must be the registered owner of the land as per the title deed records. Joint owners can also apply jointly.
  • The land should be free of any encumbrances or charges.
  • The land value should be sufficient to cover the loan amount. Lenders finance up to 50% of the land value.

Lenders Offering Title Deed Loans

  • Commercial Banks like Equity Bank, Cooperative Bank etc.
  • Microfinance Institutions like Mwananchi Credit, Northwave Credit etc.
  • SACCOs
  • Private Lenders

Banks usually have more requirements compared to other lenders. Overall interest rates range from 1% to 5% per month based on your credit profile.

Documents Required

  • Original title deed and a copy
  • National ID copies
  • Proof of income – pay slips, bank statements etc.
  • Land valuation report
  • Filled out loan application forms

Loan Application Process

  1. Identify your financing needs and required loan amount
  2. Get your land valued by a professional valuer to determine the market value
  3. Approach potential lenders and compare interest rates and terms
  4. Submit the required documents and fill out the loan application form
  5. The lender will review your documents and conduct due diligence on the property
  6. If approved, the lender will issue an offer letter indicating the loan amount, interest rate, repayment period etc.
  7. Upon accepting the offer, the lender will process the loan disbursement into your account
  8. The land title will be held by the lender as security until you fully repay the loan

How Much Loan Can You Get With A Title Deed In Kenya?

Generally, the eligibility for a loan using a title deed does not exceed 40 percent of the market value of the property. Lenders may also have specific requirements, such as providing a national identification card, passport photographs, the original and a copy of the title deed, a KRA-certified bank statement, a proforma bill of exchange, and a sales agreement.

In Kenya, the amount of loan you can get with a title deed depends on various factors, including the type of loan you need and the lending institution’s policies.

Therefore, it’s crucial to understand the terms and conditions of the loan agreement before proceeding.

The loan amount you can obtain with a title deed may not generally exceed 40 percent of the property’s market value. Various financial institutions in Kenya offer title deed loans with different terms and conditions.

What Is The Maximum Loan Limit For Title Deed Loans In Kenya?

In general, title deed loans typically allow borrowers to access a loan amount that is up to 50% of the land’s appraised value. However, it’s essential to note that the eligibility for a loan usually does not exceed 40-50% of the property’s market value.

Different financial institutions may have slightly different policies and may offer varying loan limits based on their specific terms and conditions.

The maximum loan limit for title deed loans in Kenya can vary depending on the lender and the value of the land being used as collateral.

How To Apply For A Title Deed Loan In Kenya

Documents Required

You will need the following documents when applying for a title deed loan:

  • Original title deed and a copy
  • National ID copy
  • KRA PIN certificate
  • Passport size photos
  • Payslips or bank statements for proof of income
  • Filled loan application form
  • Land valuation report

Steps to Follow

  1. Determine the amount you need to borrow; First decide how much money you need to borrow. This will help you approach lenders that can offer that amount.
  2. Get your land valued; Hire a professional valuer to determine the current market value of your land. This helps the lender determine how much they can lend to you.
  3. Identify potential lenders; Research different banks, MFIs, SACCOs, and private lenders. Compare their interest rates, terms, and requirements.
  4. Apply for the loan; Approach your preferred lender and submit the required documents. Fill in the loan application form and provide your personal and financial details.
  5. Property inspection; The lender will send valuers to inspect your property and verify its value before approving the loan.
  6. Loan approval; If your application is approved, you will receive a loan offer letter indicating the amount, interest rate, repayment period, etc.
  7. Accept the offer and receive funds; Accept the offer letter terms and the lender will process loan disbursement into your bank account.
  8. Repay the loan; Repay the loan principal plus interest in installments within the agreed repayment period. The lender holds your title deed until full repayment.


By using your land title deed as collateral, you can access quick financing from lenders in Kenya. Ensure you review the loan terms and your repayment capability before taking the loan.

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