Investing in property is a significant decision, and in Nigeria, the journey begins with understanding property titles. These documents are more than just proof of ownership—they define your legal rights and obligations regarding the property. Before you make a purchase, it’s crucial to grasp what each type of property title means and how it affects your ownership. Let’s delve into the world of property titles and uncover what you need to know before buying property in Nigeria
Why Property Titles Matter
Property titles are the cornerstone of any real estate transaction. They provide proof of ownership, ensure you have the legal right to occupy or sell the property, and can protect you from potential legal issues down the road. Without a valid title, the property transaction may not be legally binding, making your investment risky.
Common Types of Property Titles in Nigeria
- Certificate of Occupancy (C of O):
- This is a legal document issued by the state government, granting the holder the right to occupy and use the land for a specified period (usually 99 years).
- A C of O provides security to the holder by confirming that the government recognizes their ownership.
- It is often required for property development, obtaining loans, or selling the property.
- Deed of Assignment:
- This document is used to transfer ownership rights from one party to another.
- It is essential for any property transaction as it outlines the terms and conditions of the transfer.
- The Deed of Assignment must be registered at the relevant land registry to be legally binding.
- Deed of Lease:
- This document grants the lessee the right to use and occupy a property for a specified period.
- A lease is different from ownership; it allows temporary use rather than a permanent transfer of rights.
- Governor’s Consent:
- In Nigeria, land is vested in the state governor. Any subsequent transfer or mortgage of land requires the governor’s consent.
- It is a crucial step in ensuring the legal standing of any property transaction.
- Without the Governor’s Consent, any transaction involving land or property is considered null and void under Nigerian law.
- Deed of Mortgage:
- This document is used to secure a loan against a property.
- It grants the lender (usually a bank) a claim over the property until the loan is repaid.
- If the borrower defaults, the lender can foreclose on the property.
- Grant of Probate/Letter of Administration:
- These documents are required when a property owner dies.
- Grant of Probate is issued when the deceased left a valid will, and the named executor applies for the right to administer the estate.
- Letter of Administration is issued if there is no will, allowing the next of kin to administer the estate.
- Excision and Gazette:
- Excision refers to the process of legally releasing a portion of land from government acquisition to indigenous families or communities.
- Gazette is the official publication where the details of excised lands are published.
- A property with excision or gazette has clear ownership and is generally safer for buyers.
Conduct a Title Search with Trustcrow
Trustcrow has your back during your due diligence and purchase journey. Before purchasing any property, conducting a thorough title search is essential. This process involves reviewing public records, historical documents, and other relevant data to confirm the property’s legal status. With Trustcrow, you don’t need to guess if the property is safe; our platform gives you access to title search professionals that conduct investigations on your behalf and protect your interest.
Ready to buy with confidence?
Request a title report today at verify.trustcrow360.com
