Recently in Nigeria, the Real Estate business and investments have taken a new turn. Real Estate is now the new oil well in Nigeria with both short- and long-term return on Investment. People are becoming more aware of the importance and benefits of Real Estate investment. As a real estate investor in Nigeria, after buying that land or that building what is next? Remember that before you buy a land you need to don some background work which is known as DUE DILIGENCE.
After you have purchased the property as an investor you have to take a step further by registering the property with the right government authorities. Property registration in Nigeria is a crucial process in securing ownership rights and protection over real estate assets in Nigeria. This process involves several steps that must be carefully followed to avoid pitfall or disputes. Registering your property in Nigeria as an investor provides proof of ownership, it protects you against fraudulent activities, and it facilitates the easy transfer of property.
In this blog, we are going to give you the steps to follow before buying your property and how to register your property in Nigeria after you have purchased the property.
Read:Real Estate
Conduct a search at the Land Registry in the State where the land is situated:
Before you buy any land or house as an investor it is very important you conduct a search at the Land Registry to confirm the property’s status. This search will reveal whether the property is free from encumbrances such as mortgages, liens or any other encumbrances. The search is conducted at the relevant State Land Registry where the property is located. You need to check out the survey plan to ascertain if the pillars are duly registered and in whose name it was registered.
If you are satisfied with the report of your search, you can consult your lawyer to prepare the necessary title document depending on the property you are buying. He can prepare a Deed of Assignment if it is a property that have a Certificate of Occupancy (C of O) or Deed of Conveyance for properties without C of O. Some States in Nigeria use Power of Attorney to transfer title, if that is the case with you then your lawyer will prepare a Power of Attorney. These are legal document that transfers the ownership of the property from the seller to the buyer.
Read:Title Documents in Nigeria
Obtain the Governor’s Consent: In Nigeria, the Land Use Act of 1978 vests all Land within a state in the Governor of that State. Thus, any transaction involving the transfer of interest in land requires the Governor’s consent. The buyer must apply for and obtain this consent before proceeding with the registration
Stamp the title document: After the title document is executed, it must be stamped at the stamp duty office before registration. Stamp duty is a tax levied on legal documents, and it is calculated based on the value of the property.
Register the title document: The final step in the property registration process is the registration of the title document at the land Registry. This step is important, as it provides public notice of the transaction and protects the buyer’s interest in the property. The registration process involves submitting the stamped deed, along with other required documents, to the Land Registry. The law requires the registration of all instruments affecting land.
Read also:Understanding Real Estate in Nigeria
Obtain the Certificate of Occupancy (C of O): For some land which has never had any title or for government allocated plots, the buyer may need to obtain a certificate of Occupancy (C of O) from the state government. The C of O is a legal document that confirms the holder’s right to use and develop the land. But for a land that has a C of O the buyer can only apply to change the name on the C of O to his name.
In conclusion, one cannot under estimate the importance of registering a land title document. It saves the investor the headache and heartache of litigation.
For further enquiries
Email: info@verazadvocates.com.ng
Call/WhatsApp: 08116486356
