Imagine paying for a piece of land only to find out later that it’s owned by 10 family members. Or buying a house, only to discover hidden structural defects that cost millions to fix. Worse still, some people unknowingly purchase properties with legal disputes, leading to years of court battles and financial loss. These real estate pitfalls are real and can happen to anyone who doesn’t do their due diligence before investing.
The good news? You don’t have to fall into these traps. By following a few critical checks, you can make an informed decision, avoid scams, and secure a profitable property investment. In this guide, we’ll walk you through five essential things to check before investing in any property in Nigeria, especially in Port Harcourt.
Real estate is one of the best ways to build wealth in Nigeria. Whether you’re buying land, a house, or an investment property, doing proper checks can save you from costly mistakes. Below are five key things every smart investor should check before closing any real estate deal.
Unclear Ownership and Land History
Red Flags:
Land that appears to be family-owned (omo-onile) with multiple claimants
Lack of clear historical documentation or rushed transactions without proper due diligence
When ownership is ambiguous, you risk stepping into a dispute. It’s essential to trace the land’s history, ensuring that the current seller has undisputed rights to sell the property. Legal clarity can prevent future conflicts.
Green Lights:
- The land has a single owner with a clear history of ownership.
- The seller is open to scrutiny and verification.A lawyer confirms that the land is free from disputes.
Tip: Always request a Deed of Assignment and confirm the seller’s authority to sell.
Incomplete Land Title & Documentation Issues
Red Flags:
Missing or irregular Certificate of Occupancy (C of O)
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Lack of other key documents such as Governor’s Consent, Deed of Assignment, or Registered Survey.
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Discrepancies between documents and government record.
Without a complete and verified land title, your ownership may be disputed, leaving you vulnerable to legal challenges and financial loss. Always ensure that the seller provides all necessary legal documents and verify them with the relevant government offices.
Green Lights:
- The property has a valid and verifiable title such as C of O, Governor’s Consent, Deed of Assignment, or Registered Survey.
- The seller provides all legal documents upfront.
- You confirm ownership at the relevant government office (e.g., Ministry of Lands).
Tip: Always conduct a land verification search at the government registry before making payments.
Land/Property Location & Accessibility
Red Flags:
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The property is in a flood-prone area.
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There’s no good road network, making it difficult to access.
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The area is known for land disputes or communal clashes.
Environmental factors can greatly impact the usability and safety of the land. These issues can lead to increased costs for drainage systems or even render the land unsuitable for building.
Tip: Conduct an environmental assessment and visit the land during different seasons to check for flooding or erosion issues.
Green Lights:
- The location has good road access and proper drainage.
- The area is safe and has potential for development.
- There are essential amenities like schools, markets, and hospitals nearby.
Hidden Costs and Development Plans
Red Flags:
- The seller doesn’t mention extra costs like agency fees, survey fees, or development levies.
- The government has future demolition or road expansion plans for the area.
Hidden costs can quickly turn a seemingly affordable land deal into an expensive investment. Full disclosure of all fees helps you accurately calculate the total cost of acquisition.
Tip: Get a detailed breakdown of all associated costs before finalizing the transaction.
Green Lights:
- You have full disclosure of all fees involved.
- The area is zoned for the purpose you intend (residential, commercial, etc.).
- The property aligns with future government development plans.
Physical Inspection
Red Flags:
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The building has visible cracks, weak foundations, or signs of water damage.
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The seller refuses to allow a physical inspection.
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The area lacks proper electricity and water supply.
Conducting a physical inspection is a critical step when considering the purchase of a property. It allows potential buyers to identify structural and infrastructural issues that may not be immediately apparent.
Tip: Always conduct an independent property inspection before making any commitments.
Green Lights:
- The property is in good condition, with a solid foundation.
- Basic infrastructure like electricity and water is available.
- A professional inspection confirms the property is structurally sound.
Make a Smart Investment Choice!
Investing in property is a big step, and making the right checks ensures that your money is safe. Always verify legal documents, inspect the land, confirm ownership, and check for hidden costs before making any real estate investment.
Looking to buy land or property in Port Harcourt?
At Win Realty, we offer verified and dispute-free properties in prime locations. Whether you’re looking for land or a home, we ensure you get a secure and profitable investment.
Call/WhatsApp us today at [+234 814 900 3508] or send us a message to get started!