Public members have proposed the creation of a law to prohibit the sale of homes in informal settlements. This suggestion follows a statement from the Ministry of Housing and Community Development, which urged potential buyers to be cautious when considering properties in these areas due to the frequent lack of access to electricity, water, and sanitation services.
The ministry highlighted that purchasing a property in an informal settlement can negatively affect the buyer’s quality of life and health. It noted that there have been numerous reports of buyers who, after paying significant amounts for homes in these areas, found themselves without ownership and facing eviction. One specific case described involved a buyer who paid $10,000 in cash for a home but did not receive any formal proof of ownership. This buyer faced eviction when the original landowner denied any knowledge of the sale.
In its statement, the ministry recommended that prospective buyers focus on properties in established and legally recognized neighborhoods, which provide better security, stability, and access to essential services. While informal settlements may present lower-priced housing options, they often lack the necessary infrastructure, legal safeguards, and expose residents to the risk of eviction and other challenges.
Moreover, the ministry explained that informal settlements are usually built on land that is neither legally owned nor leased, making such property transactions highly unstable. Residents face the risk of eviction without warning, leading to potential financial losses and displacement.