Real estate is
property consisting of land and constructed buildings, alongside natural
resources such as minerals, water and crops. The term defines genuine land
property, the soil beneath it and any structures built on it.
Basically, real estate
can be understood generally as everything that one can find on or below land-
Real estate can be categorized into four types namely:
RESIDENTIAL REAL ESTATECOMMERCIAL REAL ESTATEINDUSTRIAL REAL ESTATELAND
This category consists
of buildings where people reside. It includes both new construction and resale
homes. Examples are; duplexes, triple- decker, quaplexes, high-value homes, and
vacation homes. This is the most regular aspect of Real Estate people are very
much familiar with.
COMMERCIAL REAL ESTATE
These set of properties are strictly for commercial uses, that is to say, they are basically used for generating income or revenue. Such are: shopping centers, malls, medical and educational buildings, hotels, offices, filling stations, relaxation centers and more.
INDUSTRIAL REAL ESTATE
This is an aspect of
the industry that deals with lands and buildings that are used by industrial
businesses for activities.
This type of real estate has been a major controversial topic because most people contend with the fact that it should be categorized under commercial real estate, while others believe that, in the case of industrial real estate, there is a marginal difference in respect to the purpose of purchase order than it just being a means of generating income.
Basically the second school of thought stands true with regards to zoning, production or the size of the property. Examples of industrial real estate includes; manufacturing buildings also known as warehouses, storage, development and research facilities, factories, mechanical productions, construction, transportation, logistics, and warehousing.
Lands comprises of all naturally occurring resources whose supply is inherently fixed. Land properties includes vacant land, farms and ranches.
Aside real estate being a property grubbing avenue there is also the business aspect of real estate which is the profession of trading properties for interested buyers and investors. This profession has been, in fact, the most lucrative yet service oriented all over the world.
Below Are Different
Types Of Real Property.
dwelling – Apartment for just a family.
dwelling – Homes for more than one family.
– Twin units.
– A Single unit in a multi-unit building.
house – multi-story detached buildings, where each floor is a separate
apartment or unit.
buildings with independent units owned by different persons.
house – A stand-alone building.
house – Houses that can be moved on a flatbed truck.
home – A vehicle that has a permanent residence attachment.
– A building with only one room and typically a steep directional roof.
– Home made of raw materials such as
bamboo, mud, and clay.
Housing is one of the basic needs of man and ranks next only to Air, food, water and sleep.
The importance of Housing cannot be over emphasized as it’s also a major driving force for the working class. Everyone wants to be able to put a good roof over their heads and those of their family as well.
In response to the human necessity, the Nigerian Government came up with several Housing Schemes so that owning a Home will be much more easier and accessible.
Housing schemes are aimed at helping people access mortgage financing at subsidized interest rate by the Government.
The National Housing Fund (NHF) Scheme is a federal government introduced scheme, to which all public servants and employees in the organized private sector within the country are expected to contribute 2.5% of their monthly allowance to Federal Mortgage Bank Of Nigeria Employees of various corporations who are active contributors to the scheme, can access the fund through Union Homes Savings and Loans Plc. Maximum of # 5 million at the rate of 6% interest repayable over a period of 30 years is obtainable under this scheme.
Also the Lagos Home Ownership Mortgage Scheme known as Lagos HOMS is a mortgage scheme by the state government for the teeming masses. If you have some cash and an average earning job then the Lagos HOMS scheme can help you own your house simply by paying instalmentally over a period.
The Federal Mortgage Bank of Nigeria was founded by the Federal Government in 1977 to replace the Nigerian Building Society. Between 1978 and 1985, it was the only mortgage institution in Nigeria. According to the constitution of Nigeria, the Federal Mortgage Bank was established to meet the housing needs of all citizens of the country.
It is regarded as the apex mortgage finance institution in the country and regulates the activities of primary mortgage loan originators.
With all of these housing schemes put in place and many more, you have every opportunity available to own a house.
You can also contact us (0809 066 6285) at Zahari Properties for your Property needs, we are committed to providing effective home ownership schemes with flexible payment plans for you.
Land Title documents are very important and anyone who wants to invest in Landed Property should be well informed about Land title documents and the difference between each one.
Most people think the certificate of occupancy (C of O) is the only Land title document that is required when purchasing a Land. But this is not so. Apart from the C of O, There are other Land Document you must ask for before you purchase any Land.
Survey Plan: This is the Land document that gives an accurate boundary measurement and description of a Land. A survey plan is one of the most important Land documents you'll need before purchasing Land because it helps you to know if it is for Agricultural, Residential, or a Commercial to purpose and to also decipher whether the Land is committed either to another person or the government (In order to avoid encroachment). Also ensure to hire the professional services of a surveyor for an accurate description.
Excision: Due to the proclamation of the Land Use Act on the 28th of March 1978 which vested all Lands in every State of the Federation under the control of State Governors. It is important to request for an excision over the Land you want to Purchase, If not, the Land could be seized by the government anytime without compensating you even if it was purchased from the Traditional Ruler of that Land.
Gazette: A Gazette is an official record book where all special details about Lands are recorded and spelt out. A gazette will reflect the communities or village that have been granted excision. And the number of acres of Land the government has given to them. A gazette can replace a Certificate of Occupancy to grant title to the indigenes of its Community.
Certificate of Occupancy: A Certificate of occupancy is a Land Title document issued by the State Government to officially lease any Land under the State to the applicant for 99 years. A C of O is the officially recognized Land Document for demonstrating your Ownership Rights to a Land for 99 years.
Deed of Assignment: A deed of assignment is also one of the most important documents you must have when concluding a Land transaction. It is an agreement between the seller and buyer of the Land that states that the Ownership Rights Have been transferred to the Buyer.
Receipt: Land Transactions receipt is a proof of payment process between the Buyer and the Seller.
It is important to note that when purchasing a land in Lagos, you should ensure that it is genuine and will not be sold to anyone else after you make payments.
So, what you need is to obtain the governor's consent so you would not have to lose your money and true ownership or face unnecessary dispute over Land.
Here are the requirements needed to obtain the Governor's Consent :
Certified True Copy of Grantors Title
Site Photography with date
Four copies of Passport Photograph
Copy of Chartered Survey
Receipt of payment For Land Survey
Certificate of Occupancy
Cover Letter with phone Number and e-mail address
Deeds of Assignment or Power of Attorney
The whole process of Perfecting Land Title can be a hassle, but you can hire a Real Estate agent or a Solicitor who will help you secure and process the perfection of the Land through a written application to the office of the Surveyor- General for charting, with the completed form sworn before a Magistrate and a letter for consent by the Governor.
If you require assistance with documenting your Land Title, Please call: 0809 066 6285.
There are people who have succeeded as real estate investors, There are others who have lost their investments. Therefore, Knowing the adequate techniques to apply could make a huge difference when investing in real estate. Which involves;
Standing out from other real estate investors : Real estate investment is very popular due to its profitability, however standing out and finding out the right property to invest in would go a long way.
Make an application that is attractive and unique to the initial owner of the property
Show interest in the property but avoid appearing too desperate.
Know and verify your budget for the property.
Research :Researching on the property you want to purchase helps you in every step of the way and it gives you the confidence and credibility to own the property amidst other investors.
Rental Properties:You may find a nice property and refer it to the real estate market for rentage at a fee that would cover the property expenses. This is one of the most popular techniques adopted by most investors.
Being a landlord enables you earn a steady income and helps you pay off mortgage loans. However, ensure you get good tenants who would pay promptly and also value your property.
The most important feature with which we can distinguish Real Estate Investors is their investment motive. All Investors buy Real Estate, However, not all of them do for the same reasons. Let's have a look at the major categories of investors in the market.
Individual Investors: Most of the investors in the Real Estate market are individual investors. Individual Investors have an unlimited liability. This means that if they undertake a mortgage on one house band default on it, their other assets can be liquidated to make good the loss.
Institutional Investor: There are many institutional investors in the Real Estate market as well. These institutions usually finance themselves by issuing long term bonds in the bond markets. Since these bonds have a secondary market, they are very liquid and provide the investors with the ability to enter and exit the real estate market without any major hassles.
While, in terms of number, individual real estate investors may outnumber the institutional investors, in terms of scale or volume, they are no match for the big corporations who invest billions of dollars in Real Estate Investments.
Real Estate market, like the other markets, is somewhat dynamic. It has various investor groups, who have different motives and based on the competition and co-operation between them, the Real Estate prices are determined, to achieve best returns for the stakeholders.
Choosing tenants can be the most confusing area of operating Rental Properties. you want to make sure you select the most responsible tenant possible; a tenant who will pay rent on time and also take proper care of your Property.
One of the worst risks you can take is to let your own personal opinions and biases guide you in your decision. So, its best to sit down and plan a guideline that coheres with the Federal/State Housing Laws and also enable you get a quality Tenant.
For instance, Request that the applicant should provide a verifiable Identification. You may require the applicant to present a photo Id with their application so that you can make a copy of it. This type of requirement is valid as you will need it in the future.
It is also in order to require information which would help you know if the applicant has a sufficient income.
The general rule of thumb is to identify applicants that have a Gross Monthly Income that is three times the amount of the rent by asking for his/her bank statements. If the applicant is self-employed, you might ask them to provide their last Tax return.
Many Property Managers and Landlords also check for Credit ratings to verify the financial responsibility of the applicant.
In addition, you should check references by requesting for numbers or names of relatable persons with the applicant.
Finally, make sure you follow up to check that the applicants abides by the State/Federal Housing Laws. Not all applicants would meet all the requirements, but you can make sure to get their Valid ID and be informed of their level of responsibility.
The Ultimate goal of investing in Rental Property is profit. To make sure you achieve that goal, it is essential that you follow several necessitous guidelines
Check Preferences: This can be a burdensome step that many Landlords overlook. Feeling as though they have good instinct about the Tenant when they meet with them. Not checking references, however can lead to a number of problems. You can uncover a wealth of information about potentiate problems before you rent your Property to a prospective Tenant.
Document Everything: This is to protect not only your rights but also that of your Tenants. From the code of conduct to the rental application, everything should be documented.
Ensure Your Property is Always Clean And Secure: Not only will the Property be more visually appealing but these actions will also assist with Property Liability.
Hire A Property Manager: Property managers can be quite helpful if you do not have the time to tend to all the details yourself.
Obtain Adequate Insurance: One incident could wipe out your investments. Having an insurance gives you a backup plan.
Make Sure You Do NOT Violate The Privacy Of Your Tenants: Check with your State's regulation to find out whether you must provide any type of notice to your client before entering the residence.
Following these guidelines will help you retain quality Tenants and avoid any potential legal problems.