Are you a foreigner living in Nigeria or someone from another country who wants to buy land here? If you’re not sure how to do it, don’t worry—you’re in the right place!

Nigeria is full of beautiful places, which makes it a great place to invest in land. However, for a foreigner buying land in Nigeria, there are certain factors to consider. And the process can be complicated, especially if you don’t know the rules.

This guide explains the steps, legal requirements, and potential challenges a foreigner buying land in Nigeria might face.

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Can a Foreigner Buy Land in Nigeria?

Yes, foreigners can buy land in Nigeria, but there are important things to know. Unlike Nigerian citizens, foreigners cannot fully own land in Nigeria.

Instead, they can get a leasehold, which usually lasts 99 years. A leasehold lets foreigners use the land almost as if they own it.

Furthermore, the Land Use Act of 1978 is the main law that controls how land is used in Nigeria. This law gives ownership of all land to the state and gives the governor the power to grant leaseholds.

Therefore, foreigners who want to buy land in Nigeria have to apply to the state government to get a leasehold.

Types Of Property Ownership For  Foreigners Looking to Buy Land In Nigeria

There are forms of property ownership available to foreigners who want to buy land in Nigeria, which include:

• Freehold ownership
• Leasehold ownership

1 . Freehold Ownership

This form of ownership grants the owner indefinite ownership of the land. It is rarely used in Nigeria due to the Land Use Act.

2. Leasehold Ownership

A leasehold title lasts for 99 years and can be renewed upon expiration. It is more common in Nigeria and is granted to the owner by the state government.

What Are The Legal Requirements For Foreigners Looking to Buy Land In Nigeria?

Foreigners can buy land in Nigeria, but there are specific conditions such as:

• Business organizations: International businesses that are registered under the corporate affairs commission (CAC) can own property in Nigeria. This is a custom for real estate investment.
• Residential status: There are no direct restrictions for foreigners buying land in Nigeria. However, having a legal stand(citizenship) can help hasten the process.

Fees Required When Buying Land in Nigeria

Before buying land in Nigeria as a foreigner, there are certain fees you’ll need to pay. Some of these fees include:

• Agency Fees: Also known as commission, is a payment made to real estate agents for their services.
• Registration Fees: This is a fee charged by the land registry for registering the land documents.
• Stamp Duty: A tax paid on legal documents. The amount paid is based on location and land value.
• Survey Fees: This is a fee paid when obtaining a survey plan.
• Legal Fees: These fees are paid to lawyers who handle the land transaction.

Risks and Challenges You Need to Know as a Foreigner Buying Land in Nigeria

• Property related crimes
• Poor infrastructure
• Invalid title deeds
• Political instability

1 . Property Related Crimes

There are crimes related to property, such as burglary and land intrusion. This crime often leaves buyers defenseless.

So, as a foreigner looking to buy land in Nigeria, you need to be aware of these crimes and also plan out different security measures.

2. Poor Infrastructure

In some Nigerian states, basic infrastructure like water, constant power supply, and good roads aren’t available. This can make developing land stressful process.

3. Invalid Title Deeds

Securing a valid and clear title deed in Nigeria is often seen as a challenge. This is due to the complicated land registry system in Nigeria.

4. Political Instability

The political instability in Nigeria can influence the property market through property devaluation.

9 Key Steps for a Foreigner Buying Land in Nigeria

For a foreigner buying land in Nigeria, there are certain steps you need to follow. These steps can guarantee that your land ownership dream will be a success.

Below are steps on how a foreigner can buy land in Nigeria:

• Legal consultation
• Choose the property
• Conduct due diligence
• Engage a real estate attorney
• Acquire a leasehold
• Negotiate terms and conditions
• Sign a deed of assignment
• Payment and registration of signed documents
• Obtain a certificate of occupancy

1 . Legal Consultation: Important Step on How a Foreigner Can Buy Land

Before going ahead and buying land in Nigeria, it is wise to seek advice from legal experts in Nigeria who are familiar with land laws. By doing this, you would understand Nigeria’s land ownership regulations.

A lawyer can also help identify red flags, such as disputed land or fraudulent sellers. This would help save you time and money in the long run.

2. Choose the Property

The next step for a foreigner buying land in Nigeria is to find a suitable property. Before making your decision, consider certain factors like location, land title, land type, and proximity to basic amenities.

3. Conduct Due Diligence

This is an important step for a foreigner buying land in Nigeria. Conducting due diligence has to do with thoroughly verifying the land title documents and communal disputes.

You can work with the Land Registry or your lawyer to confirm the land’s ownership and status. This would help you avoid costly mistakes when buying land.

4. Engage a Real Estate Attorney

Working with a real estate attorney is necessary for a foreigner buying land in Nigeria. Your attorney will review contracts and draft agreements. They’ll also ensure all transactions comply with Nigerian laws.

Furthermore, an experienced attorney can prevent legal complications that might arise after the purchase.

5. Acquire a Leasehold

Under Nigerian law, foreigners can’t own land outright. Instead, they are granted a leasehold, typically lasting 99 years. A foreigner buying land in Nigeria must apply to the state government to secure this leasehold.

This process simply requires getting the governor’s consent. To do this, you’d have to submit some necessary documents, such as the land survey plan and purchase agreement.

6. Negotiate Terms and Conditions

Negotiation is important for a foreigner buying land in Nigeria. Do well to work with the seller to agree on the price, payment method, and other terms of the purchase.

When doing so, clearly outline responsibilities, such as who will handle documentation fees and transfer costs.

7. Sign a Deed of Assignment

Once the terms are agreed upon, you and the seller have to sign a deed of assignment in the presence of witnesses.

This legal document officially transfers the land rights to the foreigner buying the land.

8. Payment and Registration of Signed Documents

After signing the assignment deed, you’d have to make the agreed payment for the offer. Once this is done, all the documents, including the deed of assignment, must be registered at the Land registry.

9. Obtain a Certificate of Occupancy

The final step for a foreigner buying land in Nigeria is obtaining a certificate of occupancy. This is a type of land document that confirms your leasehold rights to the property.

It’s evidence that you’ve fulfilled all legal requirements and have the state’s approval to occupy the land.

Documents Needed For a Foreigner to Buy a Land In Nigeria

There are certain documents you’ll need when buying land as a foreigner. Some of these documents will be submitted to the land registry. These documents include:

• A valid means of identification, such as an international passport, national Identification card, or driver’s license
• Governor’s consent
• Survey plan
• Certificate of occupancy
• Deed of assignment
• Tax clearance certificate

Bottom Line

As a foreigner buying land in Nigeria, I find the process a bit tiring, but it offers profitable opportunities. To ensure that your land investment is successful, all you need to do is follow the right steps.

Furthermore, before purchasing land in Nigeria, it’s important to work with a lawyer who understands the country’s land law. This will make the land ownership process easy.