Over the years, Nigeria’s real estate market has experienced continuous growth. Statistics by Northcourt show that by the end of 2024, the market’s value could reach $2.14 trillion. This growth is mainly due to more people wanting to buy residential and commercial properties.

For investors and realtors, this growth offers great opportunities. However, before buying land in Nigeria, it’s important to consider several factors. In this article, we’ll cover the top 9 factors to consider before buying land in Nigeria in 2024.

Top Factors To Consider When Buying Land in Nigeria

Before going ahead to buy land in Nigeria, there are certain things to take into consideration. By doing so, you can avoid possible challenges and ensure your Nigeria land investment is secure and valuable.

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Here are the top 9  factors to consider when buying land in Nigeria:

• Budget
• Location
• The Size of the Lot
• Land Documentation
• Utilities
• Zoning Laws
• The Purpose for the Land
• Security
• Land Appreciation

1. Budget: Important Factor to Consider When Buying Land in Nigeria

Before you think about investing in land in Nigeria, you have to be sure of how much you’re willing to spend. You also need to be aware of the cost of buying land in Nigeria. This will help you plan and make informed decisions.

However, while it’s important to have a budget, it’s best to make it flexible. This is because land prices tend to change quickly. Also, additional costs, such as agency, legal, and survey fees, can quickly add up and may exceed your budget.

2. Location

This is an important factor to consider, especially if you want to profit from the land. Whether you plan to build or resell the land, you have to ensure that it’s easily accessible by road or any other means of transportation.

You should also check the land’s proximity to basic amenities like schools and hospitals. Also check its potential to increase in value. In Nigeria, land in developed areas costs more, but that doesn’t always mean better returns.

It’s good to let you know that land in developing or underdeveloped areas can still increase in value over time. So, instead of just looking at the current price, it’s smart to consider the area’s future growth and development potential.

3. The Size of the Lot

The size of the lot is an important factor to consider depending on your reason for buying land in Nigeria. Ensure that any plot you’d be buying meets your needs. Here in Nigeria, a standard plot of land varies depending on the location.

A standard plot is 600 square meters (0.15 acres) in urban areas and 1,200 square meters (0.3 acres) in rural areas. To verify the land size, you can work with a surveyor.

4. Land Documentation

When buying land in Nigeria, not verifying certain documents can mar your land ownership experience. To avoid being duped when planning to buy any land in Nigeria, you should ask for the following documents:

• Purchase Receipt
• Certificate of Occupancy (C of O)
• Tax Clearance Certificate
• Survey and Building Plan Approval
• Deed of Assignment
• Contract of Sales
• Power of Attorney
• Governor’s consent

You can also ask the land seller if they are the rightful owners of the land and if they have the authority to sell the land. Also, work with a lawyer to confirm the documents given by the land sellers and to clear your doubts about the land.

5. Utilities

Before you buy a piece of land in Nigeria, whether for building a home or landbanking, you need to check if it has access to utilities.

Some basic utilities a piece of land should have includes: water supply, internet connectivity, drainage and sewage system. If these aren’t available, you might need to install them and it would cost you a lot.

6. Zoning Laws

To avoid costly fines after buying land, make sure you understand the local zoning laws and regulations. This is because not all areas permit land for certain uses.

You can find out the zoning laws for different locations by speaking with the local authorities. Don’t be shy to ask questions and seek clarification on any concerns you have.

7. The Purpose for Buying Land in Nigeria

Nothing is more important than knowing the reason why you want to buy land. This is because your plans would determine the location and size of the land, and the amenities needed.

So, before making your decision, do well to determine your purpose for buying land. Are you getting land to build a residential or commercial property? Or are you planning to hold the land? Answering these basic questions is important.

8. Security

Everyone wants to live in a secure environment. No one wants to go through the stress of worrying about their safety and that of their loved ones.

Whether you’re buying land for residential, commercial, or investment purposes, security should be one of the top factors to consider. A secure environment not only provides peace of mind but also enhances the value of the land over time.

So, when buying land, look for areas with low crime rates. Also, go for areas that are close to police stations or gated communities.

9. Land Appreciation

Buying land in Nigeria is a great investment. As an investor, you’re likely to benefit from your land as the value increases.

Several factors can contribute to this increase in value:

• Location
• Proximity to amenities such as schools, hospitals, and shopping centers
• Government Policies
• Demand for Property

Finally, when buying land in Nigeria, it’s essential to research areas with strong growth potential. Look for regions where property development is thriving.

Also ensure that the land you purchase has the potential to increase in value over time. This way, you can maximize your return on investment.

Mistakes To Avoid When Buying Land in Nigeria

Buying Land in Nigeria can be a great investment, but it’s important to be careful. There are certain risks involved, and mistakes can cost you money.

Here are the common mistakes to avoid when buying land in Nigeria:

• Not attending physical land inspection
• Neglecting zoning laws
• Not conducting proper due diligence
• Failure to confirm land documents
• Bypassing land survey
• Failure to verify land ownership
• Not consulting a real estate lawyer
• Disregarding accessibility and location

Final Thoughts on Things to Consider When Buying Land in Nigeria

If you’re considering buying land in Nigeria, you’re definitely on the right path. However, before you buy land, there are certain factors you need to take into consideration.

Ignoring any of these factors can make your land ownership process difficult. Aside from having an idea of these factors, you can work with an expert real estate company like Win Realty. By doing this, you’ll avoid certain risks.