Certified Homes MD Peter Nyaga Accused of Scamming Diaspora Kenyans in Off-Plan Housing Fraud

Certified Homes Limited is once again in the spotlight after three Kenyan women living in the United States accused the company of defrauding them through a failed off-plan housing scheme targeting diaspora investors. The real estate firm, owned by Mr. Peter Nyaga, is facing allegations of misrepresentation, incomplete construction, and misleading land tenure claims.

The complainants — Elizabeth Wanguri, Caroline Ongito, and Eddah Wanjiku — say they were lured into the project through Facebook in early 2022. Marketed as an exclusive gated community named Kenyan Women in the USA Gardens (KWITU), the project promised custom-designed three-bedroom houses for diaspora clients.

In April 2022, each woman paid KSh 5.5 million to Certified Homes. The agreement indicated that the development was on freehold land, and the homes would be completed within one month after full payment. However, over two years later, construction remains incomplete, and the buyers discovered the land was actually leasehold, not freehold as promised in the sale agreements.

Court documents filed on April 10, 2024, reveal the plaintiffs were misled about the ownership status of parcels Donyo Sabuk/Komarock Block 1/450 and Block 1/58111, which were named in the purchase agreements. The plaintiffs allege that Certified Homes falsely claimed to be the registered proprietor and intentionally provided conflicting information in the letters of offer.

"The defendant, in false pretence, stated in the agreements for sale that they are the registered proprietors of the said land," the court filings read. "The 1st plaintiff was informed the land was freehold, while the other two were told it was leasehold."

In response, Certified Homes has claimed that it is the responsibility of buyers to conduct due diligence before signing contracts.

This is not the first time Peter Nyaga, formerly the CEO of Mahiga Homes Limited, has been linked to questionable real estate dealings. Both Mahiga and Certified Homes have faced numerous complaints from diaspora investors and local buyers over stalled projects and undelivered promises.

Another group of investors who bought into Certified Homes' Sukari Heights project — a proposed 10-floor apartment block in Kahawa Sukari — have also raised concerns. Despite paying KSh 5 million for two-bedroom units, they report the development is far from complete, years after payment.

The lawsuits and growing outcry have renewed calls for stricter regulation in Kenya’s real estate sector and legal safeguards for diaspora investors who continue to fall prey to fraudulent off-plan schemes.