COMPREHENSIVE BUYER'S GUIDE FOR BUYING REAL ESTATE WITH KGL REALTY PRO
Welcome to KGL Realty Pro Limited’s comprehensive buyer’s guide for purchasing real estate in Nigeria! If you’re considering buying a house or land through our trusted real estate agency in this dynamic and culturally rich city, you’ve come to the right place. This buyer’s and Seller’s guide aims to provide you with a tailored overview of the process, key terminologies, and essential documentation required to make an informed and successful real estate investment in Lagos with KGL Realty Pro Limited.
- Land Tenure System: The land tenure system in Nigeria refers to the legal framework governing land ownership and use rights. It defines how land can be acquired, owned, transferred, and used, and varies across regions and cultural contexts.
- Certificate of Occupancy (C of O): This is a legal document issued by the government that grants ownership rights to the holder for a specific parcel of land. It serves as proof of legal title and typically includes details such as the property’s location, size, and permitted land use.
- Right of Occupancy (R of O): Similar to a Certificate of Occupancy, the Right of Occupancy is a legal document issued by the government that grants individuals or entities the right to use and occupy land for a specified period, subject to certain conditions and restrictions.
- Deed of Assignment: A Deed of Assignment is a legal document that transfers ownership of land or property from one party (the assignor) to another (the assignee). It outlines the terms and conditions of the transfer and is typically executed in the presence of witnesses and sometimes notarized
- Survey Plan: A survey plan is a detailed drawing that accurately depicts the boundaries, dimensions, and physical features of a piece of land. It is prepared by a licensed surveyor and is essential for establishing property boundaries, resolving disputes, and obtaining legal documentation such as a C of O.
- Excision: Excision refers to the process of officially removing a portion of land from a larger parcel that has been designated for a specific purpose, such as agricultural or residential It typically involves government approval and is necessary for acquiring individual title documents for the excised portion.
- Gazette: A Gazette is an official publication by the government thatcontains legal notices, proclamations, and other important information, including land-related matters such as land acquisitions, allocations, and excisions. It serves as a public record and can be used as evidence of land ownership or government actions.
- Title Verification: Title verification is the process of confirming thelegal ownership and status of a property’s title documents, such as a C of O or Deed of Assignment. It involves conducting searches, reviews, and due diligence to ensure that the title is valid, free from encumbrances, and can be legally transfeered.
- Land Use Act: The Land Use Act is a Nigerian law that vests ownership of all land within each state in the hands of the state It regulates land administration, allocation, and use rights, and governs the process of obtaining land titles and permits for various purposes.
- Building Plan Approval: Building plan approval is the process of obtaining official permission from the relevant government authority to construct or modify a building on a specific piece of land. It involves submitting detailed architectural drawings and plans for review to ensure compliance with building codes, zoning regulations, and other requirements.
- Development Levy: A development levy is a fee imposed by the government or local authority on property owners or developers to finance infrastructure projects and public amenities within a specific It is usually charged as a percentage of the property’s value or based on the size and scope of the development.
- Consent Fee: Consent fee refers to a fee payable to the government or relevant authority for obtaining consent or approval for certain transactions involving land or property, such as transfers, mortgages, or leases. It is required to formalize the transaction and ensure compliance with regulatory requirements.
- Capital Gains Tax: Capital gains tax is a tax imposed on the profit or gain realized from the sale or transfer of capital assets, including real estate It is calculated based on the difference between the selling price and the original purchase price or acquisition cost of the property.
- Stamp Duty: Stamp duty is a tax levied on legal documents and transactions, including property sales, leases, and It is assessed based on the value of the transaction or the value of the property involved and is typically paid by the buyer or transferee.
- Tenement Rate: Tenement rate is a local government tax imposed on property owners or occupiers for the use and occupation of residential or commercial buildings within a specified area. It is assessed annually and is used to fund local government services and infrastructure.
- Ground Rent: Ground rent is a periodic payment made by the leaseholder or occupier of land to the landowner or landlord for the right to use and occupy the It is typically paid annually or semi-annually and is stipulated in the lease or land agreement terms.
- Land Use Charge: A land use charge is a fee imposed by the government or local authority on property owners for the use and development of land within a designated It is assessed based on the value of the land and improvements and is used to finance municipal services and infrastructure projects.
- Power of Attorney: A power of attorney is a legal document that grants authority to an individual or entity to act on behalf of another person in legal or financial matters, including the management, sale, or transfer of real estate It must be executed in writing and signed by the grantor and the attorney-in-fact.
- Encumbrance: An encumbrance is a legal claim, lien, or restriction on a property that affects its title or use, such as mortgages, easements, or unpaid It can impact the property’s marketability and transferability and may need to be resolved or disclosed during a real estate transaction.
- Leasehold: Leasehold refers to a type of property ownership where the occupier or tenant holds a lease or rental agreement with the landowner or landlord for the use and occupation of the property for a specified period. It grants temporary rights of possession and use, subject to the terms and conditions of the lease agreement.
- Consent to Transfer: Consent to transfer is permission required from the appropriate authority, often the state government, before transferring ownership of a property. It ensures that all legal requirements are met before the transfer takes place.
- Perimeter Survey: A perimeter survey is a detailed measurement and mapping of the boundaries of a property, often required for land registration and boundary dispute resolution.
- Statutory Right of Occupancy: This refers to a legal document issued by the government granting the holder the right to use and occupy land for a specified period, subject to statutory provisions.
- Registered Trustees: Registered trustees are individuals or entities appointed to hold and manage property or assets on behalf of others, typically for specific purposes such as religious, charitable, or communal
- Assignment of Lease: Assignment of lease is the transfer of leasehold rights and obligations from one party (the assignor) to another (the assignee), typically requiring consent from the landlord
- Pre-purchaseDue Diligence: Pre-purchase due diligence involves thorough investigations and assessments conducted by prospective buyers to evaluate the legal, financial, and physical aspects of a property before completing a purchase.
- Capital Improvement: Capital improvement refers to significant enhancements or modifications made to a property that increases its value, such as renovations, additions, or infrastructure.
- Fractional Ownership: Fractional ownership allows multiple investors to collectively own a property, with each investor holding a fractional share of the property’s title and usage.
- Deed of Sublease: A deed of sublease is a legal document that grants a subtenant the right to occupy and use leased premises from a primary tenant, subject to the terms and conditions of the original lease.
- Mixed-Use Development: Mixed-use development refers to a realestate project that combines different types of land uses within a single development, such as residential, commercial, and recreational facilities, to create a vibrant and integrated community
- BuildingPlan Approval Certificate: This certificate is issued by the appropriate government authority after reviewing and approving the architectural and structural plans for a proposed building, ensuring compliance with building codes and
- Area Demarcation: Area demarcation involves the physical marking or delineation of boundaries or plots of land to define ownership or land use rights, often done through the placement of boundary markers.
- Building Completion Certificate: A building completion certificate is issued by the appropriate government authority upon the satisfactory completion of construction work on a building, confirming that it meets all relevant building codes, standards.
- TitleSearch: A title search is a process of examining public records and documents to verify the ownership history and legal status of a property’s title, identifying any encumbrances, liens, or defects that may affect its transferability
- LeaseholdConversion: Leasehold conversion refers to the process of converting leasehold tenure to freehold tenure, granting the leaseholder permanent ownership rights over the land and improvements, subject to payment of conversion fees and compliance with legal
- Real Estate Development Financing: Real estate development financing involves securing funding or capital for the acquisition, construction, or improvement of real estate projects, typically through loans, equity investments, or joint venture.
- Land Use Charge: Land use charge refers to the conversion oral teration of the designated land use or zoning classification of a property, often requiring approval from the relevant government authorities and compliance with planning .
- Condominium Ownership: Condominium ownership involves individual ownership of a unit within a multi-unit residential or commercial building, along with shared ownership and responsibility for common areas and amenities, managed by a condominium association or management .
- Greenfield Development: Greenfield development refers to the construction or development of new real estate projects on previously undeveloped or agricultural land, often involving site preparation, infrastructure installation, and master.
- Joint Venture Agreement: A joint venture agreement is a legal contract between two or more parties to collaborate on a specific real estate project, pooling resources, expertise, and risks, and sharing profits or losses according to predetermined terms.
- Land Value Appreciation: Land value appreciation refers to the increase in the market value of a property over time, driven by factors such as economic growth, infrastructure development, demographic changes, and demand-supply dynamics in the real estate.
- Property Tax Assessment: Property tax assessment involves the valuation of a property by the government for taxation purposes, determining the annual property tax liability based on the property’s assessed.
- VacantPossession: Vacant possession refers to the legal transfer of a property from the seller to the buyer without any occupants or tenants occupying the premises, ensuring the property is delivered in a vacant and accessible.
- Land Grabbing: Land grabbing involves the illegal seizure or encroachment of land by individuals, groups, or organizations without proper authorization or legal ownership rights, often leading to land disputes.
- Economic Rent: Economic rent is the maximum amount of rent that a property can generate in a competitive market, determined by factors such as location, demand, and the quality.
- Land Banking: Land banking is the practice of acquiring and holding land for future development or investment purposes, with the expectation of capital appreciation and potential future
- LeaseRenewal: Lease renewal is the process of extending the term of a lease agreement between a landlord and a tenant, typically requiring negotiation of new terms and conditions, including rent adjustments and lease term
- Rent Control: Rent control refers to government regulations or policies that limit the amount by which landlords can increase rents on residential properties, aimed at protecting tenants from excessive rent hikes and ensuring affordable
- Real Estate Investment Trust (REIT): A REIT is a publicly traded company that owns, operates, or finances income-generating real estate properties, allowing investors to invest in a diversified portfolio of real estate assets without directly owning or managing
- Land Use Master Plan: A land use master plan is a comprehensiv eplanning document prepared by government authorities that outlines the long-term vision and strategic framework for land use and development within a specific area, guiding zoning regulations, infrastructure development, and urban
- Building Permit: A building permit is an official document issued by the relevant government authority granting permission to commence construction or renovation work on a building, ensuring compliance with building codes, regulations, and safety
- Urban Renewal: Urban renewal is the process of revitalizing and upgrading urban areas through redevelopment, infrastructure improvements, and revitalization initiatives, aimed at enhancing the quality of life, attracting investment, and promoting sustainable
- Estate Surveyor and Valuer: An estate surveyor and valuer is a professional trained in the valuation, management, and development of real estate properties, providing services such as property appraisal, land surveying, and real estate
- Land Grabbing: Land grabbing involves the illegal seizure or encroachment of land by individuals, groups, or organizations without proper authorization or legal ownership rights, often leading to land disputes and
- OpenMarket Value: Open market value refers to the estimated price that a property would fetch in the open market under normal conditions, based on factors such as location, size, condition, and demand-supply dynamics, determined by appraisal methods and market
- Real Estate Brokerage: Real estate brokerage involves facilitating property transactions between buyers and sellers as intermediaries, providing services such as property marketing, buyer representation, negotiation, and transaction management, in exchange for a commission or
- Rent Control: Rent control refers to government regulations or policies that limit the amount by which landlords can increase rents on residential properties, aimed at protecting tenants from excessive rent hikes and ensuring affordable
- Town Planning Approval: Town planning approval is the official authorization granted by the town planning authority for proposed developments or land use changes, ensuring compliance with zoning regulations, environmental standards, and urban planning
- Vacant Possession: Vacant possession refers to the legal transfer of a property from the seller to the buyer without any occupants or tenants occupying the premises, ensuring the property is delivered in a vacant and accessible
- Zonal Classification: Zonal classification refers to the categorization of land or properties into different zones or districts based on factors such as land use, density, development intensity, and infrastructure availability, guiding planning, zoning, and regulatory
- Secondary Mortgage Market: The secondary mortgage market is a financial marketplace where mortgage loans are bought and sold between mortgage originators, investors, and financial institutions, providing liquidity and investment opportunities for mortgage-backed securities.
- Self-Contained Apartment: A self-contained apartment is a residential unit or dwelling that includes essential amenities and facilities such as a kitchen, bathroom, and living space within a single unit, providing independent living accommodations for occupants.
- Valuation Report: A valuation report is a comprehensive documentprepared by a qualified valuer or appraiser that provides an assessment of the market value or worth of a property, based on factors such as location, size, condition, and comparable sales data
- Mortgage Insurance: Mortgage insurance is a financial product that protects lenders against losses resulting from borrower default on mortgage loans, typically required for loans with high loan-to-value ratios or low down payments to mitigate risk
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Frequently Asked Questions
At KGL Realty Pro Limited, we conduct rigorous due diligence and verification of property documents. We collaborate with reputable legal experts and government authorities to confirm the authenticity of the C of O, ensuring your peace of mind.
KGL Realty Pro Limited offers a personalized and hands-on approach. Our experienced team guides you through every step, from property search to closing, ensuring a seamless and transparent buying process tailored to your needs.
Yes, KGL Realty Pro Limited has established relationships with reputable financial institutions to provide exclusive financing options for our clients.
We can connect you with mortgage providers and banks offering competitive rates.
KGL Realty Pro Limited collaborates with experienced legal professionals who specialize in real estate transactions. They conduct thorough land verification, property inspection, and legal documentation to safeguard your investment.
5. What additional services does KGL Realty Pro Limited offer for property maintenance and security?
We provide property management services to ensure your investment is well-maintained. Additionally, we offer guidance on security measures, including CCTV installation and access control, to protect your property.
Absolutely! KGL Realty Pro Limited welcomes foreign investors and can assist with the necessary regulatory processes, including approvals from the Nigerian Investment Promotion Commission (NIPC), to facilitate your property purchase in Lagos.
Yes, KGL Realty Pro Limited offers comprehensive property valuation and appraisal services conducted by certified professionals. Our team utilizes industry-standard methodologies and market analysis to provide accurate and reliable valuation reports.
8. What steps does KGL Realty Pro Limited take to market properties effectively to potential buyers?
KGL Realty Pro Limited employs a multi-faceted marketing approach, including online listings, social media promotion, targeted advertising, and networking with our extensive database of buyers and investors, ensuring maximum exposure for your property.
Our skilled negotiators at KGL Realty Pro Limited leverage their expertise and experience to navigate negotiations effectively. We strive to resolve disputes amicably while advocating for our client’s best interests and achieving favourable outcomes.
Yes, KGL Realty Pro Limited offers guidance on property insurance options and risk management strategies to protect your investment. We can connect you with reputable insurance providers offering comprehensive coverage tailored to your needs.
