Common Property Law Mistakes in Nigeria and How to Avoid Them
Investing in real estate is a smart financial move, but many Nigerians, including those in the diaspora, fall into legal traps that cost them millions. From land disputes to fraudulent transactions, understanding property law is crucial for securing a hassle-free real estate investment.
In this guide, we’ll highlight the most common property law mistakes in Nigeria and provide expert tips on how to avoid them.
1. Buying Land Without Verifying Ownership
One of the biggest mistakes property buyers make is failing to verify land ownership before purchasing. Fraudsters often sell government-allocated land or resell properties they don't legally own.
How to Avoid This:
- Conduct a land verification check at the relevant land registry office.
- Request original documents like the Certificate of Occupancy (C of O), Deed of Assignment, and Survey Plan.
- Work with a professional property lawyer to validate all documents.
2. Not Conducting Due Diligence on Land Titles
Some lands have encumbrances (such as government acquisition, family disputes, or pending court cases).
How to Avoid This:
- Conduct a search at the Land Bureau to ensure the land is not under government acquisition.
- Ask for title documents like a Governor’s Consent or Registered Survey.
- Ensure the seller has the legal right to transfer ownership.
3. Skipping a Proper Sales Agreement
A verbal agreement or an informal sales receipt is not enough. A legally binding contract prevents future disputes.
How to Avoid This:
- Draft a Deed of Assignment and have it reviewed by a real estate lawyer.
- Ensure the agreement includes clear terms like payment structure and transfer of ownership details.
- Sign documents in the presence of witnesses or a legal representative.
4. Ignoring Land Use and Zoning Regulations
Many buyers purchase land without considering zoning laws, leading to restrictions on their intended structures.
How to Avoid This:
- Check urban planning laws for the area before purchasing.
- If buying for commercial use, ensure the land is zoned for business activities.
- Work with a licensed surveyor to ensure proper land development.
5. Not Registering Your Property After Purchase
Failing to register land with the government leaves you vulnerable to land grabs or ownership disputes.
How to Avoid This:
- Register the Deed of Assignment at the Land Registry.
- Obtain Governor’s Consent if required.
- Work with a real estate lawyer to ensure proper documentation.
Conclusion
Avoiding property law mistakes in Nigeria is crucial to securing your real estate investment. Whether you're buying land in Amazon Estate by Senatorch Limited or any other location, legal due diligence is a must.
Ready to invest in a legally secured estate? Contact Senatorch Limited today for expert guidance on real estate investments, land verification, and property management.