There are many factors to consider before buying land since buying a land is considered one of the oldest forms used to determine how wealthy a person is in Nigeria. In times past, it is not unusual to see people measure a person’s wealth by the amount of land they own. Times have passed, and people now understand that there are a thousand and one more ways to determine this. However, the value placed on land cannot be undermined and there are different reasons people buy land.
Therefore, this post is aimed at giving an expository on how to make the best decision and avoid being scammed.
The budget is the primary thing to be examined as when purchasing a land. It isn’t about simply wanting to purchase a land, the genuine question is do you have the financial capability? Regardless of the budget available , it is important to make enquiries on the expense of purchasing a land and the additional costs that are related with it to avoid financial headache.
A budget serves as a guide and it allows you to utilize your funds. Examples of extra expenses to be considered when budgeting are; legal fees, agency fees, survey plan certificate of Occupancy, Governor’s Consent etc.
2) LOCATION OF THE LAND
Like many other real estate properties, the location plays a vital role in the overall value of the land. The amount a particular land might be sold for is dependant on many factors as earlier stated, however, one of those factors is the location of a land.
Another thing you need to consider before buying land in a location is the potential growth of the area. You would want to ask yourself what the growth of the particular area would be like in ten to twenty years time. Inasmuch as land does not depreciate, having a strategic location would increase your chances of making more value on future sales.
3) LAND SIZES
This is likely the first thing you want to know as a landowner and you also want to consider before buying land. You might have come across various terms such as plots, acres, hectares etc. and probably don’t know the difference. They are different land sizes which plays vital roles in the price of a land in which you must famililarize yourself with
Plots: a plot is an arbitrary term used to describe a land division set out for developmental purpose. The size of a plot vary for different reasons but according to Nigeria’s land division, the recommended plot for a house construction is 50 x 100ft.
Acres: An acre is a bigger size compared to a plot. It is almost the equivalent of a standard football field. it is the product of a rectangle plot of land that is about 4,046 square meter or 43,560 square feet. An acre usually consists of 6 plots, each measuring about 60 x 120ft. However, an acre is roughly 40% of a hectare.
Hectares (ha): hectare is the largest of the three sizes. A hectare measures about 100m x 100m or 328 feet x 328 feet or 10,000 square meters. A hectare is about two and a half acres which are usually about 15 plots.
It is important to note that these measurements vary across Nigeria. Though the above measurements are standard, but due to factors like land location, possession, and circumstances leading to the transaction, there are different variations in measurements.
4) LAND APPRECIATION
A land is seemingly the main resource that doesn’t deteriorate over a given timeframe.As rural areas develop into urban areas, those who have invested by buying lands in those areas tend to get five folds of their investment because the area is now developed. This is the reason it is critical to place enough thought into the area in which you are purchasing a land.
5) MOTIVATION BEHIND PURCHASE
Before you choose to purchase a land anyplace in Nigeria, it is fundamental to have a reason for the land. We have partitioned the reasons into two and interesting points for each.
Business: as the name infers, the motivation behind purchasing the land is for business reason. This implies you are purchasing land for speculation. It is really one of the keen approaches to guarantee snappy returns of your investment.
Private: purchasing a land to construct a house is another reason individuals purchase lands. For some individuals, it is one of their topmost objectives before retirement. It is the assurance of having a rooftop over your head after retirement.
Others include: Nearness to market, availability of social amenities, good security etc
6) GET THE NECESSARY LAND DOCUMENT
It may seem like the silliest of things to overlook but an important factor to consider before buying land. However individuals still neglect to get the essential documents required so as to guarantee responsibility for land they have bought. It is one of the basic errors or traps individuals will in general fall into from fraudsters or land grabbers.
It is fundamental you request the evidence of possession from the merchant before completing any transaction. In the event that a dealer can’t give enough verification, it is a warning haul out from the deal. Documents includes: Survey plan, Excision, Gazette, certificate of Occupancy, deed of assignment, Governor’s consent etc.
7) METHOD OF PAYMENT
The mode of payment when buying a land is vital and might just be the only reason you are duped or not. No matter what you do, DO NOT PAY IN CASH when buying a land. You must ensure everything is properly documented from the cost of the land to the receipt of survey fees. The only way you can save yourself from unnecessary stress in the future is by documenting all the payments.
No matter how small the payments you have made, it is important to document all of it. It is also important to engage a lawyer in order to prepare a purchase receipt in which all parties can sign to acknowledge payments through any of the bank channels. This cancels the possibilities of a seller denying the exact the amount paid, when it was paid and for the purpose it was paid.
FOR ENQUIRIES/PURCHASE OF LANDS CONTACT @gmeedia_properties on 08103603728 (WHATSAPP/CALL)