Are you venturing into real estate in Abuja? Or buying your first property in Abuja? This article covers everything you should know about the deed of assignment in Abuja.
The real estate business has existed for as long as man has existed. It is the land we live on and everything that we build on it. Land is a valuable resource, but its supply is also limited since man cannot create new land.
Abuja as a city, has people come in from all over the country to settle, in hopes of better opportunities, and others for business purposes. This inflow of people increases the demand for land. This is why you should observe the right procedures involved in acquiring or investing in real estate. When someone decides to buy a property from another person, a deed of assignment is required.
What is a Deed of Assignment?
A deed of assignment is a document that shows the transfer of ownership from the seller (also known as ‘assignor’) of a land/property, to the buyer (referred to as the ‘assignee’). It is one of many documents that protect your real estate investment should a conflict arise.
The original owner of a land or property will have a certificate of occupancy. If he decides to sell it, it is required by law that the seller grant a deed of assignment to prove that he willingly gave rights of ownership to the buyer.
Also Read: 7 Real Estate Mistakes You Must Not Make If You Live Abroad
Things to Know About the Deed of Assignment in Abuja
1. Content of a deed of assignment
A deed of assignment in Abuja or any other Nigerian state should have:
- The names and details of the parties involved in the transaction. Details include their addresses, titles, etc.
- A description of the land or property in question: that is the size, location, and other physical features.
- The history of the land: how the assignor first acquired the land and any documentation before the sale. Was it a family inheritance, any disputes from the time of acquisition up until the time of sale, etc?
- Terms and conditions
This can include a guarantee, restrictions (if any), payment schedule, etc.
- Signatures of the parties involved and that of their witnesses.
- Date of sale and when a transfer of rights begins.
- The amount agreed upon by both parties for the property (i.e. monetary value of the sale).
- A survey plan.
- The name of the lawyer who drafted the agreement.
- A section for the governor’s consent, which must be signed by the governor of the state or his representative (who has to be a government official too).
2. Who can draft a deed of assignment?
Only a lawyer has the right to draft a deed of assignment in Abuja or anywhere else in Nigeria. The lawyer of the assignee/buyer will draft an agreement, and then hand it over to the assignor or his lawyer for review and approval.
It is advisable to hire a property lawyer with a vast knowledge of Nigerian real estate laws. This is to make sure the deed complies with all necessary regulations and laws, in the interest of the parties involved.
3. Costs
Your lawyer or the law firm you hire is at liberty to charge you what they please. But the cost is usually from five to ten percent (5-10%) of the value of the property in question.
4. Governor’s consent
The Land Use Act of 1978 is one of the major laws that govern real estate transactions in Abuja. This federal law also applies to all land matters in Nigeria.
The Land Use Act entrusts all land within each state (including the FCT) to the governor of that state, who holds it in trust for the people. This means that every land buyer must get the consent of the governor for any land transaction to be legal. Otherwise, he (the governor) has the right to nullify all land transactions that do not meet the requirements of the law.
The governor’s consent can stand as evidence of the transaction between you and the seller in case of a dispute.
Only the original owner of the land is entitled to a certificate of occupancy (a document that proves land ownership). If the holder of this C of O decides to sell their land, the buyer must get the governor’s consent. should this buyer decide to sell to someone else, the new buyer is required to receive the governor’s consent again. this will continue for every new buyer.
Your deed of assignment will have a section for the governor’s consent, and will carry his signature.
Also Read: Money Saving Guide for Your First Real Estate Investment in Abuja
5. Perfecting your deed of assignment in Abuja
For your deed to be considered legal, you have to apply to register it.
In Abuja, you need to follow a process that involves several steps. The exact process can vary depending on the requirements of the local land registry office and any changes to the law.
Here is a general guide to get you guide:
- Preparation of the Deed: The Deed of Assignment must be written, by a legal practitioner.
- Payment of Stamp Duties: Before registration, the Deed of Assignment needs to be stamped.
- Stamp duty is a tax on documents and must be paid at the Federal Inland Revenue Service (FIRS). The amount varies depending on the value of the property.
- Governors’ Consent: As mentioned above, your deed of assignment will have a section for the governor’s consent. This can be gotten by submitting an application letter, along with other required documents to the relevant state authority. For Abuja, it is the Federal Capital Territory Administration (FCTA).
Submission for Registration
Once you have obtained the necessary stamps and consents, you have to submit the Deed of Assignment for registration at the Abuja Geographic Information Systems (AGIS) and any other relevant land registry office in Abuja.
You will need to provide:
- The original stamped Deed of Assignment
- Receipt of payment for the Governor’s Consent.
- A completed application form for registration
- Proof of payment of the registration fees
And any other documents required by the AGIS or land registry office.
Assessment and Payment of Fees: The registry will assess the documents and calculate the fees required for the registration of the deed. You will then be required to pay these fees.
Collection of Registered Deed: After the registration process is completed, which can take some time, you will be notified to come and collect the registered Deed of Assignment. This document is now a legal record of the transfer of property ownership.
Since the process can be complex and the requirements may change, it’s advisable to engage the services of a legal practitioner. He/she can guide you through the process, ensuring that all legal requirements are met and that the process goes as smoothly as possible.
Also Read: How Land Scams Work in Abuja
Conclusion
it is really important for people who want to buy or sell property in Abuja to know about the deed of assignment. It is a legal document that shows who owns a property and helps prevent future disputes and losses.
The information in it and the steps to make it official show how complex the legal side of real estate transactions can be. This is why you must hire a good property lawyer to handle your real estate deals.
You can reach out to me on +2348033352126 or click on this phone number to send me a WhatsApp message, +2348033352126
 of a land/property.){kind=link}