The rising interest of individuals in real estate has revealed the enormous opportunities inherent in this business. However, with this increased interest, real estate scams have become a thing in Ibusa and unsuspecting victims are taken advantage of.

While you seek to fulfill your dream of becoming a property owner, be wary of these scams to protect your hard-earned money and your mental and emotional health.

Here are some of the common real estate scams in Ibusa:

1. Multiple sales of the same property

This is the act of selling the same property to different buyers, collecting huge sums of money from the buyers and disappearing, leaving the buyers to fight over the property. This also manifests when landlords collect rent from an already sold property, and/or children of a deceased landowner collect rent from tenants at different points in time.

Red flags

• There are significant low prices for the location.
• Pressure to make quick decisions; this involves sellers giving deadline threats to buyers or they will forfeit the opportunity to acquire the property.
• Sellers show unwillingness to provide proper documentation.
• Children of a deceased landowner show up to inspect the property at different times.

Protection 

• Conduct a thorough title search at the Delta State land registry in Asaba.
• Verify that the seller is the real owner of the property.
• Use a legitimate lawyer to handle the buying process.
• Avoid paying rent to an acclaimed inheritor of your rented property
• Investigate the ownership history of the property.

Also Read:

• Notable Landmarks in and Around Ibusa (Igbuzo)
• Why Real Estate Investors Are Moving to Ibusa Instead of Asaba
• Read This Before You Buy Land in Ibusa

2. Fake real estate agents

These individuals pose as real estate agents to collect fees, deposits, and even rents from properties that they are not in charge of.

Red flags

• They demand cash payments.
• They show reluctance towards providing references
• There is no formal contract or documentation.
• They don’t possess professional credentials or any physical office; fixing meetings at eateries or any public location.
• Inconsistencies during the acquisition process.

Protection

• Ensure to work with agents that are registered with the Nigerian Institute of Estate Surveyors and Valuers (NIESV)
• Do your due diligence to verify the agent’s credentials
• Request references from previous clients
• Check out the agent online.
• Never pay cash without proper receipts, online transactions are advisable.

Ask the real estate agent a series of questions: the reason for the sale, the owner of the property, its price, etc. These questions will reveal inconsistencies if there are any.

3. Land grabbers

These are self-proclaimed ‘children of the land’, since land in Ibusa is mostly communally owned. They claim generational rights to properties demanding payments and fees (deve) from legitimate buyers.

Red flags

• These land grabbers demand unnecessary settlement fees
• They give threats of intimidation to halt the development of the property.

Protection 

• Obtain all proper government documentation
• Engage the community leaders before purchasing the property
• Consider buying properties in well-established estates that are secured

4. Incomplete documentation

This is when sellers transfer property without complete documentation. This always leads to legal issues when the buyer realises they don’t have full legal rights to the property.

Red flags

• Seller giving excuses about the documents; the usual saying: “They still dey work on the documents”
• Missing documents: “No worry, you go get all the documents”
• Pressure to finalize the deal before all paperwork is complete.

Protection 

• Insist on seeing the complete documents before making payments
• Have a real estate lawyer to review all the documents.
• Ensure that all proper transfer procedures are followed at the land registry.

5. Inflated prices of properties and ridiculously low prices of property

This involves dishonest agents inflating the prices of properties. They do this to extract higher commissions and extra money from buyers who are not familiar with the actual pricing of properties in Ibusa. Meanwhile, others reduce the price of the property to attract greedy buyers. These reduced prices mostly come with hidden fees.

Red flags

• Prices are significantly higher than similar properties in Ibusa
• Prices are significantly lower than similar properties in Ibusa
• Pressure tactics and deadlines emphasizing high demand for the said property, or rapid appreciation.
• Unwillingness to negotiate

   Protection 

• Do your findings to know the prices of properties in Ibusa
• Get independent property valuations
• Consult different agents before making a payment decision.
• Ask for a written and detailed breakdown of all payables
• Properly negotiate all the payables before sealing the deal.
• Read purchase or tenancy agreement before payment. 

These real estate scams are prominent in Ibusa. Other common property frauds in Ibusa include:

Sales of non-existent properties: Scammers market “upcoming estates’ that in the real sense have never been built, and in the worst case don’t exist. This is evident when the seller refuses you to inspect the property you want to purchase.

Fake property documents: Scammers create counterfeit sale of land agreements/contracts of sale, deeds of assignment, survey plans, certificates of occupancy, and other title documents, for properties that are not theirs. These documents have unusual formats, watermarks, missing stamps and inconsistent information.

Sales of properties with liabilities: scammers sell properties with liabilities like court cases, unpaid mortgages, unpaid taxes, etc. You need to verify that there are no liabilities on any property that you want to purchase. Do a due check legal research at the land registry to know if there is any litigation tied to the property.

Fake real estate companies: these are companies set up by scammers posing as agents. They are not duly registered with cac.gov.ng, don’t have a physical address, and advertise properties at unreasonably low prices.

Also Read:

• How Safe is Ibusa for Real Estate Investment?
• Everything You Need to Know About Ibusa Community
• When is the Best Time to Buy Land in Ibusa and Asaba?

Conclusion

Real estate scams are prevalent in Ibusa just as they are in other parts of the country. You don’t have to become a victim before taking measures to avoid it. Transact with a legitimate real estate company like AlphaLink Group, and work with a reputable real estate lawyer who can verify the legitimacy of any presented document. 

Also, never be in a hurry to purchase any property, no matter how attractive the offer is. A real estate deal that is too good to be true probably is.

Do you desire to buy land in Ibusa, Ogwashi-Uku, Epe, Ibeju-Lekki or Enugu, call or send a WhatsApp message to +2348134794494.