MUFIDAT ETUDAIYE
27th April, 2023 : 9;16am
With a staggering 1.2 million Google searches for the phrase - buy land in Nigeria - this year, it's evident that land ownership is a matter of profound interest and concern for countless individuals. Indeed, the quest for acquiring and understanding land in Nigeria is a journey marked by a unique blend of cultural richness, legal intricacies, and economic significance. Whether you are a seasoned investor, a first-time buyer, or simply curious about the world of land ownership in Nigeria, this guide will serve as your trusted companion on this enlightening voyage.
First Let’s talk about How one can own land in Nigeria, what are the modes of Ownership or acquisition of Land in Nigeria?
HISTORICAL CLAIMS
FIRST SETTLEMENT: During the old days, first settlement was a common form of land acquisition. This basically had to do with a person or individual, family or community claiming title to a barren land or property before any other person. Such a person, family or community is seen by the law to be the rightful owner of such property. However, in order for the settler in question to enjoy his right to such landed property, he must clearly prove that he is truly the first to have settled on such land. Also, in the instance where it cannot be proved that the settler in question is not the initial settler from the onset on such property, then the settler would be deemed to be the original and rightful owner of the land or property. This was the decision of the court in the case of Owonyin V Omotosho.
TRIBAL CONQUEST: This mode of land acquisition was provided for under customary law. Back in the day during the time of our forefathers, land could be acquired through conquest. This involved inter tribal conflicts which were governed by a win-lose system. The winner of the conflict or war would automatically gain rightful ownership and control over the property of the tribe which suffered defeat. It is however important to note that this system of land acquisition is no longer in place so please do not go and say you want to fight your guy-man for his land abeg, you will just find yourself in F-Division.
INHERITANCE: This is a mode of land acquisition I think we are quite familiar with. Inheritance is basically the transfer or passing down of property from a deceased to another. An individual can inherit property through testacy or intestacy. Testacy is basically when a deceased makes a valid will before the time of their death. In this instance, whoever is mentioned in the will would be deemed fit to inherit the property as mentioned in the will. Before the property is transferred to the beneficiary of the property (the person who is inheriting it), a probate may be involved. A probate is simply a court process proving or recognising a will as valid and thereby, vesting full ownership and control over the land in the beneficiary subject to the provisions of the will. When it comes to intestacy however, it is where a deceased does not make a valid will before the time of his death. It’s important to understand that intestacy can also happen when a deceased makes a will but such will is not recognized as valid or credible in the eyes of the law. During intestacy, relatives would have claims to such property and it would be concluded through a letter of administration. A letter of administration is essentially the power given to an administrator to distribute the deceased’s property between those who are entitled to it.
SALE: This is the most common mode of land acquisition known to us all. It involves the transfer of land or property from the original owner who is the seller to the subsequent one who is the buyer for a certain amount, price or interest and such transfer of property would only be deemed as valid when the agreed price or interest for transfer has been paid and all terms within the transfer agreement fulfilled. In summary, it is the transfer of property from the original owner I.e the seller to the buyer for a certain agreed price or amount. Now the transfer of such land can only be done where certain requirements are in place which are:
That the person who sold the land was in fact at the time of such sale had the legal or equitable right to take such action
That the proper means or documentation to the sale of land as recognized in Nigeria was used for such sale. It is on this point important to note at this point that the recognized document used for the transfer of land in Nigeria is a Deed of Conveyance and as recognized by the court in the case of and not a Power of Attorney in Nigeria as no matter how the wordings are couched the Power of Attorney is not a recognised documentation for the transfer of ownserhip to land rights.
GIFT: This is common to certain people and communities. It is the instance where the rightful owner of a property willingly transfers his right of ownership and possession to another person without any form of consideration(payment) whatsoever. Transfer of property by gift can take place orally or in writing. It is however advisable to execute a deed of gift (agreement in writing) in regard to such property in order to avoid confusion and conflict in the future. The agreement signifies the execution of the legal transfer of such property from the owner to the beneficiary.
GRANTS: Land can be acquired through customary grants. In this scenario, the family or community head may gift or award land to a member of the community for his contribution to the community at large. This practice is still common to certain communities in Nigeria.
While having discussed the ways in which land can be owned or acquired, it is necessary to also talk about the ways in which the title of ownership to land can then be proved in our society.
There happens to be a widely recognized guide in Nigeria to the question of Proof of ownership of land an it the case of IDUNDUN V OKUMAGBA[2], where the court held that there are five ways in which a valid title to land can be proved. These ways or methods include:
Traditional Evidence or Traditional History: Ownership or good title to land can be proved by traditional evidence. This basically refers to ancient evidence or existing evidence dating back to the time of our forefathers. Simply put, in order for evidence to be deemed admissible as proof of ownership of land or property, it must be ancient, dating back to the old times and must have passed through generations on end.
By production of duly authenticated and executed documents of title: Essentially, in proving good title to a property, one may do so by producing documents which have been duly authenticated and executed. This means that the documents proving ownership of the property must be real and not forged, and the documents must have been validated in accordance with the appropriate laws guiding land ownership. However, in instances where such documents are produced from proper custody or are dated 20 years or older from the time of its creation, then there is a presumption of due execution of such documents.
By acts of ownership over a sufficient period of time numerous and positive enough to infer true ownership: In this instance, ownership or good title to land may be proved by actions or inactions which would ordinarily be at the disposal of the true owner such as selling, renting, gifting,leasing or cultivating part or whole of the property in question. It is important to note that these actions or inactions must have been done or occured over a substantial period and are frequent and definitive enough to imply that the individual is the legitimate owner of the property.
Acts of long possession and enjoyment of land: In this instance, an individual may prove ownership or good title to land if he can provide succinct evidence proving he has been in possession of such property for a long period of time and has enjoyed the use of the same without interference or disturbance from any outer party. It must be duly noted however that proof of long possession and enjoyment of land would only stand where no other party proves valid title of ownership to such property and in the instance where such takes place, good title would no longer reside in the party claiming good title based solely on long possession and enjoyment.
Proof of ownership of adjacent or connected land: In the instance where the Valid owner of land connected to or surrounding the land in question can be deemed the true or valid owner or proprietor of the land in question due to certain circumstances, proof of ownership of the connected or adjacent land would automatically stand as proof of ownership of the adjacent land. Simply put, whoever proves valid ownership of the adjacent or connected land would be deemed the valid owner of the land in question.
What else should you know about Ownership of Land in Nigeria?
Now that we know what we need to about land Ownership in Nigeria, these are some areas that are you should note when dealing with land transactions in Nigeria
Land Disputes and Resolution:
Land disputes are a recurring issue in Nigeria due to factors such as population growth, urbanization, and historical ambiguities in land ownership. Understanding the causes of land disputes is crucial. These disputes can arise from boundary conflicts, competing claims, or issues related to inheritance. To resolve them, various methods can be employed, including negotiation, mediation, and litigation. The court system plays a significant role in settling disputes. Recognizing the legal and judicial processes for addressing land disputes is essential for both buyers and sellers to protect their rights and interests. It is becoming increasing advisable to refer these cases to arbitration because of the delays that a court litigation can entail.
Registration and Surveying:
Land surveying is a fundamental aspect of land ownership in Nigeria. Accurate surveys establish the exact boundaries and dimensions of a piece of land, preventing boundary disputes and encroachments. Additionally, proper registration of land transactions with the appropriate government authority is a legal requirement. It serves to protect the rights of the landowner and ensures the transaction's legality. Failure to register a land transaction can result in disputes, and in some cases, the government may not recognize the ownership.
Investment and Development:
Land in Nigeria holds substantial potential as an investment. It can appreciate in value over time, making it an attractive option for investors. Understanding the role of land in infrastructure development and urban planning is also vital. Infrastructure projects and urbanization can significantly impact the value and utility of land. Investors should keep an eye on areas with planned developments to make informed investment decisions.
Land Valuation:
Land valuation is a complex process influenced by various factors, including location, land size, proximity to essential amenities, infrastructure, and market demand. Appraisers use these factors to determine the fair market value of a property. It's essential for buyers and sellers to be aware of how land is valued in different areas to ensure fair pricing and negotiate effectively. Overvaluing or undervaluing land can lead to financial losses or challenges in selling or buying.
Fees:
Fees to Consider When Trying to Own Land in Nigeria Several fees and expenses come into play when acquiring land in Nigeria. These can include:
Survey Fees: The cost of hiring a licensed surveyor to measure and map the land accurately.
Legal Fees: Charges for legal services, including drafting and reviewing contracts, conducting due diligence, and facilitating the land transfer process.
Stamp Duties: Taxes paid to the government for legal documents, such as land agreements.
Land Registration Fees: Charges for registering the land transaction with the appropriate government authority.
Community Fees: In some cases, local communities may require fees or contributions for land access or development.
Agency Fees: If a real estate agent is involved in the transaction, their commission should be considered.
Infrastructure Development Fees: In certain cases, property developers may be required to contribute to the cost of local infrastructure development.
Taxes: Property taxes may apply to land and vary by location. Understanding these fees and budgeting for them is essential for prospective landowners to avoid unexpected financial burdens during the land acquisition process. It's advisable to work with legal and financial professionals who can provide guidance and ensure that all fees are properly accounted for in the transaction.
In conclusion, our exploration of land ownership in Nigeria has uncovered a rich tapestry of history, culture, and legal intricacies that underpin this vital aspect of life in our nation. Whether you're a seasoned investor, a first-time buyer, or simply curious about land ownership, you now have valuable insights to navigate this complex landscape. To put this knowledge into action, it's crucial to approach land transactions in Nigeria with a well-informed and cautious mindset. Understand that land disputes can be a recurring challenge, and you should familiarize yourself with the causes and resolution methods. Land surveying and proper registration are not just legal requirements but essential safeguards to protect your ownership rights. For those considering land as an investment, recognize its potential and the impact of infrastructure development and urban planning on its value. When dealing with land valuation, be aware of the factors that influence pricing in different areas to ensure fair and informed negotiations.
Lastly, remember that land ownership comes with various fees, from survey costs to legal fees and taxes. Budgeting for these expenses is essential to avoid unexpected financial burdens. Now that you've gained these insights, it's time to take action and embark on your journey in the world of land ownership in Nigeria. Whether you're looking to invest, buy, or simply understand this vital part of our culture, let your newfound knowledge guide you to make informed decisions, protect your rights, and ensure a secure and prosperous future.
N/B: Please note that this information is not a comprehensive overview of the topic and one would need tailored advice from a legal professional in respect to their particular situation. You can reach out to the author.
Etudaiye Mufidah Inya is a final year law student in the University of Ilorin, Kwara State. Her interests include Property Law, ADR, Human Rights, Energy Law and Tech Law. She writes from Okene, Kogi State.