Buying Land: 5 Things to Consider

October 11, 2022by REDOC

Buying land is a dream of every young man growing up. Land in ancient times is considered one of the oldest forms of creating wealth. Even though time has passed, people now understand that there are other ways to determine this. Still yet, the value placed on land cannot be undermined.

At some point in life, you would want to consider yourself old and financially okay enough to be your own landlord. You would consider owning land for the purpose of building a house I.e your dream house. Also to a newbie or old players in real estate, land investment is considered one of the surest ways to make a profit and create wealth for them.

Buying land is not child’s play a lot of things have to be considered. Whether it is your life savings or spare cash; you would want to safeguard your money from fraudsters and at the same time make the best decision on your investment. Banking on your relationship with the seller is not enough, you be concerned about if it legal or not.

In this article, I highlight the necessary things you should consider before buying land.

Budget is important when buying land

The budget is one of the most important things to consider when buying land. Regardless of where you decide to buy your land, the most important thing is having a realistic budget. No matter the amount of money you might have saved, it is always important to make research the cost of buying and the extra expenses that are associated with it.

Having a realistic budget serves as a guide to buying the right property for you. Examples of the extra expenses to consider are legal fees, Agency fees, survey plan, and the cost of required documents such as Certificate of occupancy (C of O).

Read also: Land: Nature’s gift to humanity

Location and appreciation of the land

Regardless of the purpose of buying land, the location of the land is a very important factor to consider. Choosing the perfect location that has the potential for development is important. Like many other real estate properties, the location plays a vital role in the overall value of the land. The amount a particular land might be sold for is dependent on many factors as earlier stated.

Land is arguably the only asset that does not depreciate over a given period of time. Investing on land is one of the best ways to invest in the real estate business. You would want to ask yourself what the growth of that particular area would be like in ten to twenty years’ time.  Prices of land vary across the nation. Regardless of the price, having a strategic location would increase your chances of making more value in future sales.

Land sizes to consider when buying a land

As a potential land owner, this is likely the first thing you would want to know. There are different measuring terms used in different locations in the country such as plots, hectares, acres, etc. They are different land sizes and also play vital roles in the prices of land. To learn more about land sizes, check out our article on land measurement.

Purpose of buying a land

Before deciding to invest in land anywhere in Nigeria, it is very important to have a purpose for the land. Just as you have a purpose for getting a new phone or getting a car, it is essential to have a purpose for the land. When it comes to buying land, you definitely want to make the best investment. The question you need to ask yourself is “what purpose would this land serve?” This will help you make the best decision on the best land that is fit for your need. There are many types of reasons why people buy land but the two most common are

  • Commercial purpose
  • Residential purpose
Get the necessary documents when buying a land

Buying land without getting the necessary documents is a recipe for disaster. It might sound like the silliest of things to forget, but people still fail to get the necessary documents needed in order to claim ownership of the land they have purchased.

It is essential you ask for proof of ownership from the seller before carrying out any transaction. If a seller cannot provide enough proof, it is a red flag to pull out of the transaction. No matter what you do, do not go into a deal in which the seller cannot provide proof of ownership. It is also in the same vein that you must ensure you have all the documents required after the transaction, in order to avoid unnecessary issues with the government of land grabbers.

Conclusion

It is important you perform your own due diligence before making an attempt to purchase your dreamland.

Are you looking to buy your dream land at a strategic location today, visit https://redocint.com/estates/

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