Nigerian real estate costs are rising, particularly in large cities like Lagos, Abuja, and Port Harcourt. One of the best investments you can make in this country is real estate. However, there are several difficulties when purchasing real estate in Nigeria. Finding your ideal property will be made easier if you have the right information.
The steps you can take to buy a home in Lagos, Abuja, or Port Harcourt, Nigeria, are listed below:
Step 1: Establish a budget
First-time homebuyers frequently overspend, which is a mistake. This can tempt you to purchase a home you can’t afford. This is a result of the high-interest rates that Nigerian banks demand for mortgages.
Knowing and adhering to your budget is crucial. If you don’t, you’ll eventually run into debt and end up in a scenario where a lot of money is going out and very little is coming in.
2. Locate a Realtor
Regardless of what you’re searching for luxury, value, or location, you’ll eventually need to locate a real estate agent who can advocate for you.
The individual who will assist with the documentation is a seasoned real estate agent. The good news is that you no longer need to stress yourself because agents may be found and interviewed online thanks to the digital era.
A real estate agent can also assist you with other duties including contract writing, contract negotiations, and hiring inspectors.
Step 3: Money and Site Location
Learn the location and value of the land you want to purchase. Find out the selling price per square meter there. Find out how much people are asking for their properties. Ask around, and don’t forget to check with estate agents who will also have information on current pricing.
Step 4: Hire a seasoned attorney
The purchase and sale of real estate are governed by numerous laws. It is crucial to hire a real estate lawyer for this reason. A real estate lawyer may provide you with the following services:
a. Creating and reviewing real estate contracts, including those for sale, purchase, lease, exchange, partition, mortgages, and other contracts.
b. Including clauses in the agreement that safeguard your interests and the interests of the other parties involved in the transaction.
c. Giving legal counsel on the best way to structure your transaction to maximize profits while lowering risks.
d. Representing you before state and federal organizations that control real estate transactions, such as the Federal Housing Authority or the Department of Housing and Urban Development (HUD) (FHA).
e. Offering legal advice on matters about the neighborhood, such as CC&Rs, zoning regulations, and neighborhood association rules.
Step 5: Schedule an inspection
It’s crucial to inspect the property before purchasing it. This will assist you in finding any flaws in the property that might not be obvious to the unaided eye.
An examination might reveal details about the property’s past as well as potential costs associated with ownership.
You can acquire the most thorough report possible by hiring a certified structural engineer to conduct your examination. If there are any flaws in the building’s foundation, walls, or ceilings, a structural engineer can let you know about them.
Step 6: Bargain for the Price
Nevertheless, you have a budget of your own that may be somewhat similar to the asking price for the house. However, after consulting with your agent, attorney, and inspection engineer, you must bargain the price of the property.
Participate in the transaction with a qualified real estate agent. Realtors offer vital knowledge about what comparable homes have sold for in the neighborhood and can advise you on what price to set for the home you wish to buy.
7. Do your Part
Get all the information you require about the property and the location you intend to invest in before making any real estate purchases.
Reputable real estate brokers or attorneys with expertise in real estate law can provide you with this information. They will be able to provide you with information on some of the local historical sites and advice on what to watch out for before signing any contracts to purchase real estate in Nigeria.
Step 8: Compiling the documentation
It’s time for both parties attorneys to make arrangements for the document to be officially turned in once every other stage has been completed.
These three documents are primarily what you require from the seller;
a. The name and address of the seller(s) and buyer are listed on the contract of sale (COS) (s). Additionally, it contains a complete list of the conditions of the transaction.
b. The Deed of Assignment (DOA), which transfers ownership from the seller to the buyer or vice versa.
c. Receipt: After transfer fees have been paid, this is obtained from the land office.
9. Conduct market research
Look around for properties that fit your budget, requirements, or area after doing some background research on Nigerian real estate laws. You might like to check out similar properties we have up for sale on our website.
Before choosing the properties you wish to purchase, compare these properties’ prices and locations. If it’s a commercial property, you’ll need to find out whether the neighborhood fits the type of business, etc.
Step 10: Making Payment and Delivering
After you have confirmed all the essential information, you must pay the seller in full or in part in the presence of both lawyers, receive a receipt, and make sure that all the required paperwork and information have been properly transferred. And you now possess legal title to the property.
In conclusion, Nigerian real estate is listed for 100,000,000 on average. The costliest home is $1,800,000,000, while the least expensive is $8000,000. More than 40,000 houses are up for sale in Nigeria, all you need do is to drive towards achieving your dream house.
