Common signs to spot a shady real estate deal

Nigeria’s real estate market is a thriving one, with a lot of investment opportunities for both local and foreign investors. However, with the growth of the market comes an increased risk of shady real estate deals. Unfortunately, not everyone in the market operates ethically, and it’s important to be able to spot a shady deal before you invest your hard-earned money. In this blog post, we will discuss common signs to spot a shady real estate deal in Nigeria.

1. Unregistered Property: One of the most common signs of a shady real estate deal is an unregistered property. Properties in Nigeria are required to be registered with the relevant authorities, such as the Lands Bureau or the Federal Capital Territory (FCT) Lands Department. If the property you’re interested in isn’t registered, it’s a red flag. Not only is it illegal, but it also means that you’ll have no protection should anything go wrong with the deal.
2. Unusual Pressure: to Sign Shady real estate deals often involve a lot of pressure to sign on the dotted line. If the seller is trying to push you into signing a contract without giving you enough time to fully inspect the property or consider the terms of the deal, it’s a sign that they may have something to hide. Always take your time when making a real estate investment and never sign a contract without fully understanding the terms and conditions.
3. Unrealistic Pricing: Another sign of a shady real estate deal is unrealistic pricing. If a property is priced significantly lower than similar properties in the same area, it’s a red flag. This could be a sign that the seller is trying to offload a property that has hidden problems, such as structural damage or zoning issues. Always do your research and compare the prices of similar properties in the area before making a decision.
4. Lack of Documentation: Another sign of a shady real estate deal is a lack of proper documentation. This could include missing building plans, title deeds, or survey reports. Always make sure that you have a complete set of documents before making a decision. If the seller is unwilling to provide these documents, it’s a sign that they may have something to hide.
5. No Inspection: It’s essential to inspect a property before making a purchase. If the seller is unwilling to allow an inspection, it’s a red flag. This could be a sign that the property has hidden problems, such as structural damage or zoning issues. Always make sure you have the opportunity to inspect the property before making a decision.
6. No Negotiations: Shady real estate deals often involve no room for negotiation. If the seller is unwilling to negotiate the price or the terms of the deal, it’s a sign that they may have something to hide. Always negotiate the terms of the deal to ensure that you’re getting the best possible deal.
7. Cash-Only Deals Cash-only deals are a sign of a shady real estate deal. Not only is it illegal, but it also means that you’ll have no protection should anything go wrong with the deal. Always make sure that you have a written contract and that the payment is made through a secure, traceable method, such as a bank transfer or a cheque
8. Hidden Fees: Shady real estate deals often come with hidden fees. This could include charges for services that should have been included in the sale, such as survey fees or legal fees. Always thoroughly review the contract and make sure you understand all of the fees involved before signing on the dotted line. If the seller is unwilling to provide a detailed breakdown of the fees or is vague about what the fees are for, it’s a sign that they may be trying to hide something.

In conclusion, Nigeria’s real estate market is a growing one, with many investment opportunities. However, it’s important to be aware of the signs of a shady real estate deal. Always take your time when making a decision, thoroughly review the contract, and never sign a contract without fully understanding the terms and conditions. If you’re unsure about a deal, seek the advice of a real estate professional or a legal expert. Investing in real estate can be a great way to grow your wealth, but it’s important to make sure that you’re investing in a legitimate, secure deal.