Dot your I’s and Cross your T’s
Fraud has always been a part of human societies the world over – ever since currency has existed, likewise the ability to con people of it. Wherever there is a way to deceive or take a shortcut, there is a will to capitalize on such opportunities. Scams in the real estate industry in Nigeria are real but real estate scams are not just a problem peculiar to Nigeria. It is a global issue and there are ways you can protect yourself from being a victim.
Here are a few guidelines to digest:
- Identity verification – The Internet explosion means that we all live our lives in an entirely different way – from how we connect to different communities to how we carry out business transactions. It’s easier now to follow through on a business transaction with one or more parties without physical representation. The web is rife with fraudulent activity and with most online based financial transactions coupled with the relatively porous channels of the digital age, we advise that you thoroughly authenticate the identity of any real estate agency. Run the name of the agent on different databases, ask for recommendations if the case permits and ensure you have adequate information on the party you are about to transact with. This is a good way of building trust and fostering a healthy business relationship in your real estate transaction.
- Legal Documentation – The importance of legal documentation in real estate transactions cannot be overemphasized. Before payment is made, demand for the presentation of legal documents that pertain to the property. In the case of rentals, a draft lease agreement should be reviewed and properly evaluated preferably by your lawyer or by a professional real estate agent As regards transactions that involves sales of land and landed properties, the authenticity of the title documents should be verified through appropriate bodies such as the Lands Registry. This makes such ownership claim and the transaction as a whole legitimate after proper verification from the appropriate government agencies in charge of all land and landed properties’ matters in Nigeria.
- Always ask questions – Non-disclosure of structural defects known by agents is unethical in the real estate business as most clients may be ignorant of such property defects.Always ask questions on the history of the property which should entail information on the past tenants (if any), duration of the property, property structure and location. Employ the services of a structural engineer as a neutral party that will provide you with an unbiased and professional opinion on the property. Questions are also important because they help reveal irregularities in the real estate transactions.
