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Key Considerations for Land Transactions in Uganda

Key Considerations for Land Transactions in Uganda

In the diverse landscape of Uganda, the real estate market is vibrant and brimming with opportunities for those looking to engage in land transactions. Whether you’re a buyer, seller, or investor, understanding the intricate web of laws and customs surrounding land dealings is crucial.

In this comprehensive guide, we delve into the key considerations for land transactions in Uganda. From the documentation processes to the rights and duties of tenants by occupancy and kibanja holders, we’ll equip you with the knowledge you need to navigate this complex arena successfully.

Rights and Duties of Tenants by Occupancy and Kibanja Holders

  1. Tenants by occupancy have a right to occupy land under the laws of Uganda.
  2. They have a right to enter transactions with respect to the land they occupy with the consent of the registered land owner, which should not be denied on unreasonable grounds (Section 34 of the Land Act).
  3. The law strictly requires tenants by occupancy to give the land owner first option where they wish to sell their interest and vice versa where a land owner wants to sell the land.
  4. These rights and duties extend to Kibanja holders who must also obtain the consent of the registered owner before selling their Kibanja.
  5. A person who buys registered land which has tenants by occupancy must respect their rights. He or She must not evict them except after obtaining a court order of eviction for non-payment of nominal ground rent.

Documentation of Land Transactions

  1. Have an agreement in writing for any transaction (buying, selling, donating or bequeathing) on land.
  2. Ensure that the right persons in law i.e. an adult who holds interests in that land signs the agreement.
  3. Ensure that you have copies of the original agreement.
  4. All parties (buyers and sellers) must sign on all pages of the agreement.
  5. For titled land, conduct a search to ascertain the real owners or interest holders.
  6. Ensure that the legitimate land owner has valid letters of administration to deal in the land and where there are more than one, all of them must sign the agreement.
  7. Where either the buyer or seller of the land is illiterate, the person writing the agreement for or on behalf of the illiterate must indicate his or her full name and address as the writer of that document otherwise he or she commits an offence (Section 3 and 4 of the Illiterates Protection Act Cap 78).
  8. Good land agreements in Uganda must have names and signatures of parties to the land including witnesses. The land location must be included as well as its size in both words and figures including description of what is in the land. Another important element is the date of the sale plus the amount of sale in figures and words.

Land transactions in Uganda can be complex, but by following the key considerations outlined in this blog post, you can help to ensure a successful transaction.

It is important to remember that land is a valuable asset, and it is important to take the time to do your due diligence before entering into any transaction. If you are unsure about any aspect of a land transaction, it is always best to consult with a qualified lawyer or other professional.

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