Tips for retired: Investing in Buying Land
Posted on: 11 December 2018 by Rono Bens
Vacant Land is one of the most overlooked and misunderstood real estate investments in the world. A lot of retired people are interested in the superior benefits that come with owning land.
Buying a land is a daunting task. Buying a house can be one of the most complex real estate transactions to engage in.
In most cases, people question the feasibility of getting value for their money. There has always been the fear of being scammed or duped. This is why some people question whether or not investing in real estate is a good decision of not. Truth is, anywhere in the world, you would still question your decision to buy a land or any property in that regard.
The wisdom in this however is to understand the rudiments and knowing the questions to ask before buying a land. Regardless of whether your are beginner or a real estate pro, the aim of this article is to guide you through the process of buying a land.
Below are some questions to ask before buying a land:
What is the land located?
This may seem quite basic, however it is one of the most important questions to ask before purchasing a property anywhere in Nigeria. The importance of the location of a real estate property cannot be overemphasized because it major role in the value of your property even over time.
Whenever you are buying a property, one of the first factors to put into consideration is the location of the property in question. Regardless of whether you are a seller or buyer, this rule abides both ways. Also, whether you are buying a land for personal (residential) or commercial (investment) purpose, the location cannot be undermine.
Before shopping for real estate in Nigeria, you should have a good knowledge of the various areas and what the advantages as well as the disadvantages of acquiring a property there will be. If the purpose of buying the land or property is to use to for commercial purpose, you might want to consider a number of things. Some of which include, proximity to the market, class of individuals who reside there, is the neighbourhood strictly residential or is there a commercial sphere? And so on.
If it is a property meant for residential purposes, take a tour and examine the serenity of the neighbourhood. Quality of roads as well as other social amenties present there. What is the rate of property appreciation within the area? How is the rate of development?
What Is the Size of the Land?
Buying a land is very dicey, there is more to it than just seeing a vast land liking and paying for it. You need to consider the size of the land you intend to buy and the purpose why you buy it (appartments for rent in Nigeria or another purpose). It is advisable to go with a surveyor who can help give an accurate measurement of the land. After which you go ahead to compare what the seller told you.
In some cases, people buy lands without getting accurate measurement and at the end of the day it doesn’t fit into the plan they had. So, what is the size of land you need? Is the size the same with what the land seller says it is? This is where your knowledge of different land sizes come into play. You can learn more about land sizes in Nigeria here.
Is The Land Accessible?
The question above is as clear as it can be, is the land accessible? Truly, the goal is to buy a land, but buying a land that is accessible saves you from future headaches. It may seem unimportant but very necessary that you consider this. It shouldn't be after you have paid for the land that you then discover it does have good road leading to it.
Before making payments, ask yourself and people, am I buying a land with good road network? There are cases of people who have to park two bus stops away because the road to their homes are bad. Knowing if the land is accessible saves you from such stress.
What Is the Price of The Land?
It is important that you ask this question. How much is the land selling for? This is obvious because you will definitely be making payments. The price of the land should also be in line with your budget. Having an idea of the price is a good step to buying a land.
One key factor that determines the price of land is the location. That said, you also want to know if you are not being overpriced. This is why it is important that you know the price, that way, you can compare prices. You can compare prices with people who bought land in the area. PropertyPro.ng is another easy way to find and sell properties and you can also compare prices of the listings.
Are The Necessary Documents in Place?
This is no doubt the most important question or thing to consider when buying a land. It is not just about loving the area or the idea of becoming your own landlord, are the legal documents for the land?
After which you must have pick the particular land to buy, ask for the legal documents. Ensure that the land is genuinely registered. This way you are assured of not being duped. If the land seller cannot provide the necessary documents, it is a red flag to end the transaction.
The documents you should ask for include the Certificate of Occupancy (C of O), Survey Plan, Deed of Assignment, Excision and Gazette among others. These document guide you in order to know if a particular land is under government acquisition or not. Also, they serve as guide on what the land can be used for.
There you have it. The above are some of the important questions to ask before buying a land. Now, you are a step closer to becoming your own landlord.
Is any zoning restriction on the land?
In Nigeria, people tend to forget to ask questions about zoning permits of the area they wish to buy a land or property. Zoning restrictions helps you know what the government plans for that area. There are areas that are marked out by the government for residential purposes only. Buying a land in such area to build a factory or hotel will be gunning for issues in the near future.
Having a good knowledge of the zoning limitations of an area saves you so much. Discover beforehand what and what you are permitted to do on the land based on the zoning restrictions of that area.