Categories: Business

Why homeowners, developers must perfect their title —Expert

Mr Abiodun Lawal, an associate member of the Nigerian Institution of Estate Surveyors and Valuers, is the Managing Director, Biodun Lawal Consulting. In this interview with DAYO AYEYEMI, the professional speaks on the potential inherent in title’s perfection and the processes homeowners or developers must go through to secure their real estate investments.

Can we know what informed your decision about perfection of title?

What informed my decision to specialise in perfection of title was that most estate surveyors and valuers are not into this area of our practice. Perfection of title has to do with documentations, getting a Certificate of Occupancy (C of O) for your land or registering a Deed of Assignment or doing your ratification, just to get title.

Why is perfection of title so important to land owners or home builders?

Any development on land has to agree with the Land Use Decree of 1978. This land’s law is the guiding instrument laying emphasis on the perfection of title. There are sections of the law that say before you can carry out any development on land, you must seek the consent of the governor. This means that for the transaction to be binding, you must have a valid title. Everybody believes that once you have a valid title, I mean title that is registered, that confers ownership on you. So the C of O is a registered title that confers ownership of land on the holder. Deed of Assignment that is registered via Consent also confers ownership on the holder. There are lands, probably that are not free and the government gives you option to rectify. So we call that ratification. It is like C of O too. It confers ownership.

Do you agree that only five per cent of land in Nigeria is registered?

Before now I agreed with that assertion, but now the percentage has increased. Before now there was not much awareness on perfection of title, but now with much awareness, there has been much improvement. Before now the processes of getting C of O, especially in Lagos State, were slowed. However, when the 30-day consent was introduced, that is when you filed in your applications, you have 30 days to get your documentand the processes received a boost. The 30 -day consent was used as an advert to get people on board and people were really sensitised. This awareness increased people’s participation in perfection of their title. Now we have more than five percent registered titles.

What is the potential in the perfection of title to estate surveying practitioners?

It provides self-employment for them. As you can see, I am able to be gainfully employed after being equipped with the necessary instrument. At times, when you talk in the public, you talk as a professional in the perfection of title and people are willing to listen and buy your ideas. Apart from this, it helps to increase your clients’ base. When you have clients that are giving you jobs and you are delivering, definitely you gain their respect. Whenever we are having sale’s transaction, if you are equipped with the knowledge of perfection of title as an estate surveyor and valuer, when you talk, they know you know what you are doing. There are so many potential even for upcoming professionals.

What do a homeowner stands to lose if he does not perfect his title?

Let me cite Lagos as an example; when land grabbers know that you have a registered title, they don’t harass you. Before they come to you they have to think twice. So there is security. When you have a title that is valid, that is security on the land. Then, for mortgage purposes, if a bank wants to give you loan, either for business or whatsoever, you must have a registered title on the land. If you are the owner of a land, it has to be registered before bank can grant such loans. If you register the land and it is verifiable at the Land Registry without encumberance, you get the loan. However, if there is any encumberance, bank won’t give you the loan.

What is your advice to the real estate developers?

For a developer that is willing to invest in land anywhere in the country, the first thing to do after getting the land is to confirm the status of the land. If somebody wants you to develop his land for him, you must confirm any instrument he gives you, most especially the title. He may give you a survey plan of the land; you have to confirm the survey plan of the land by going to the ministry. There are some dubious people that won’t give you the full coordinates of the land. The best thing to do is to visit the Survey Department and get a land surveyor to check the actual coordinates of the land. The coordinates will now be charted to know the status of the land. If you are sure of this, you now demand for the title of the land and conduct your search at Land Registry. Once you are satisfied, you can proceed with the development.

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