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Understanding Property Purchase Laws in Somalia: Legal Framework, Risks, and Due Diligence

August 5, 2025
A Somali couple standing in front of an up market property smiling.

Introduction
Property ownership in Somalia is a sensitive and often complex issue, shaped by decades of civil conflict, unclear documentation, and overlapping claims. As stability returns and urban development accelerates, understanding the legal framework for buying property is essential for individuals and investors alike.

Legal Basis for Property Ownership
Somalia lacks a unified land tenure system, and property laws vary by region (e.g., federal government vs autonomous states like Puntland and Somaliland). The most commonly referenced frameworks include:

  • The Somali Civil Code (1974)
  • Land Laws and Urban Property Acts from pre-civil war governments
  • Customary (Xeer) and Islamic Law in rural or clan-administered areas

In urban centres like Mogadishu, land registration is handled by the Ministry of Public Works and Reconstruction, though informal transactions still occur.

Types of Property Rights

  • Freehold Ownership: Recognized in most cities, though documentation is inconsistent
  • Leasehold Agreements: Often used for foreign investors and NGOs
  • Customary Ownership: Not always formally recognised but widely enforced through local elders

Steps to Purchase Property Legally

Conduct a Title Search: Check the chain of ownership through the municipal land registry (if available)

Engage Legal Counsel: Hire a lawyer to verify the seller’s authority and documentation

Community Vetting: In some areas, buyer/seller approval must come from elders or local authorities

Written Contract: Must be signed, ideally notarised, and ideally submitted for registration

Municipal Registration: File ownership with the relevant district office

Risks and Challenges

  • Fraudulent Titles: Multiple parties may claim ownership to the same plot
  • Lack of Centralised Registry: Many areas lack a functioning land database
  • Clan Conflicts: In some regions, property disputes tie back to historical clan lines
  • Political Disputes: Federal-state disagreements over jurisdiction may affect land laws

Best Practices for Buyers

  • Never rely solely on verbal agreements
  • Consult both legal and local (customary) authorities
  • Consider title insurance where available
  • If foreign, work through a trusted local intermediary or legal representative

Conclusion
Purchasing property in Somalia is not without risk, but with thorough legal due diligence, it is possible to secure legitimate and enforceable property rights. As the legal system strengthens and digital land registries emerge, opportunities for stable investment will continue to grow.