In our previous article, we highlighted some of the points that every real estate investor should consider before embarking on any real estate investment in Nigeria.

This article will expound on other factors that need to be considered when embarking on any real estate investment.


Have you heard the saying that people use their money to buy problems for themselves? That is exactly what happens when you get yourself entangled with properties that are encumbered. An encumbrance is a claim by a third party against a property.  It could be a mortgage claim, property taxes, and even easements. It could also be non-financial like legal restrictions. When you buy a property with such burdens, you automatically inherit the burdens. So before buying a property, ensure it has no encumbrances


When buying lands anywhere in Nigeria, it is important to make sure that such lands are free from any legal restriction(s). It must be free from any third-party claim and must not be under any dispute or court battle. Apart from being legally free you also need to do a physical inspection of the property to make sure there are no hindrances on the property which might prevent you from enjoying your investment.


 Some lands are family land or communal lands. In Lagos, this is one of the ways that people get duped easily. When buying land, you are advised to know the type of land and find out the original owners of that land. When buying a family land, you are advised to find out the head of the family and principal members of that family and obtain their consent before proceeding. If it is a community land, you need to go through the community heads and appropriate authorities. 


You see this part, it’s even more important than your desire to invest in real estate. Your means of payment and receipts of payment should be properly documented. You are advised to NEVER PAY IN CASH and solicit a lawyer to draw up receipts and agreements for you. Cash payment leaves no evidence of payment behind and you might even be issued a fake receipt. Yes, we know that even with bank transfers and all that you can also be scammed but one cannot afford not to be careful. Bank transfers or cheque gives you evidence and something to present in court in case things go south tomorrow. 

Finally, you are advised to seek legal advice and the services of a legal practitioner to help you through the rigorous process and avoid scams. 

More so, you can read our previous articles on important land title document(s) you need to secure ownership of your land.  

Don’t forget to also get your property surveyed and registered by OTIC Surveys.