In Nigeria, the Certificate of Occupancy, commonly known as C of O, stands as the pivotal document for property buyers and landowners. Issued by the state governments, it serves as conclusive proof of ownership for the specified land or property. Purchasing real estate without a Certificate of Occupancy is comparable to acquiring a vehicle without a logbook. For Nigerian landowners or property owners, finding oneself in such a situation is less than ideal. To delve deeper into this critical aspect, you can explore information about land excision and the land tenure system in Nigeria.
This article is your comprehensive guide to understanding and acquiring a Certificate of Occupancy (C of O) in Nigeria. Every crucial detail, including the step-by-step process, will be unveiled throughout this reading.
What Is C of O?
A Certificate of Occupancy is an official document issued by the government, serving as legal proof that an individual is the rightful owner of land in Nigeria. The government holds the authority to seize any plot of land or property lacking a Certificate of Occupancy at any given time, without compensating the owner.
The primary objective of securing a certificate of occupancy is to affirm that a house or building meets the habitability standards set by the law. This certificate is typically a prerequisite for daily occupancy, entering into a sales contract, and finalizing a mortgage transaction on the property. In essence, it ensures that the property is not only owned but also complies with the legal standards for residential use.
How the Certificate of Occupancy Operates in Nigeria
By Section 9 of the Land Use Act of 1978, the State Governor in Nigeria, where the land is situated, holds the authority to authorize the issuance of an occupancy certificate. This legal provision introduced the concept of land use categorization, including residential, commercial, mixed-use, etc., stating that “any person shall be entitled to a statutory right of occupancy, to issue written evidence indicating such right of occupancy.”
A distinctive feature sets the Certificate of Occupancy apart from all other title documents in Nigeria: no plot of land can hold two Certificates of Occupancy. This is because it is the initial title document issued on the land, whether it is undeveloped or has undergone development, and it has never been registered at the Land Registry before.
Some individuals perceive the government-issued certificate of occupancy as granting them the right to retain control over the property. However, this perspective can be likened to a potential trap, wherein the property owner is granted a 99-year lease to sublet their land. It underscores the nuanced nature of property ownership and the legal intricacies surrounding the Certificate of Occupancy in Nigeria.
Attributes of the Certificate of Occupancy
Certificates of Occupancy (C of O) are granted to land that has been initially registered with the Surveyor-General of the State or the Federation, particularly in the case of Federal land. An integral aspect of mapping out the land involves verifying its freedom from government acquisitions.
The following key details can be found on the Certificate of Occupancy:
1. Certificate of Occupancy number
2. File number
3. Plot number
4. Location details
5. Plot size
6. Survey plan or graphic (depicting plot shape)
7. Date of issue
8. Lease term
9. Initial annual ground rent fees
10. Land use purpose
11. Terms and conditions
These components collectively form the comprehensive profile of the property as documented in the Certificate of Occupancy, providing essential information for both the property owner and relevant authorities.
Significance of Possessing a Certificate of Occupancy
Acquiring a Certificate of Occupancy (C of O) comes with several advantages, including:
Ownership Confirmation
Obtaining a C of O serves as a definitive confirmation of one’s status as the rightful owner of a plot of land or property. It establishes a legal foundation for ownership.
Protection Against Government Confiscation
The possession of a C of O acts as a safeguard, preventing the government from seizing one’s land or property without providing due compensation. It establishes a legal barrier against unwarranted confiscation.
Enhanced Property Value
Having a C of O can significantly elevate the value of one’s land, especially in regions like Abuja. The document adds a layer of legitimacy and security, making the property more attractive to potential buyers or investors.
Prevention of Ownership Disputes
A Certificate of Occupancy helps avoid scenarios where multiple individuals claim ownership of a single property. It establishes a clear and legally recognized ownership, reducing the likelihood of disputes or conflicting claims.
In essence, possessing a Certificate of Occupancy goes beyond a mere document; it is a key instrument that not only solidifies ownership rights but also provides protection, enhances property value, and contributes to a more secure and undisputed property ownership experience.
How to Obtain a Certificate of Occupancy in Nigeria
The process of securing a Certificate of Occupancy (C of O) in Nigeria varies based on whether the land is privately owned or owned by the state government. Here’s a breakdown:
Purchase from the State Government
If you’re buying land directly from the state government, it’s crucial to initiate the C of O application right after finalizing the property purchase. The advantage here lies in the clear ownership and authenticity of the government’s power to sell the land.
Purchase from Private Individuals (Families or “Omo Onile”)
When dealing with private sellers, especially families or local landowners (“omo onile”), a thorough investigation is essential. Ensure that the individuals claiming ownership of the property indeed hold legal rights to it.
– Confirm Seller’s Legal Ownership: Verify that the seller has legitimate ownership of the land being sold to you.
– Check Existing C of O: If the seller already possesses a Certificate of Occupancy, you may only need to update the ownership title at the land registry.
Purchase from State Government or Reputable Real Estate Company
Opting to buy directly from the state government or a reputable real estate company in Nigeria streamlines the C of O acquisition process. In such cases, the initiation of the C of O process is typically prompt and efficient, commencing as soon as the property sale is confirmed.
Navigating the Certificate of Occupancy process involves careful consideration of the property’s origin, seller legitimacy, and potential avenues for acquisition. Whether dealing with private individuals or governmental entities, understanding the specific circumstances surrounding the property transaction is key to a successful and efficient C of O application.
Procedure for Obtaining a Certificate of Occupancy for State-Owned Land:
Obtain Application Form
The applicant should acquire a form from the Ministry, specifically the Land Use and Allocation Section. The form can be obtained in person or downloaded from their official website.
Submit Application Form
Complete the application form and submit it along with the following attachments:
– Tax clearance or evidence of being domiciled abroad.
– Three passport photographs.
– Official receipt for application fees (₦5,000 for residential land use or ₦10,000 for commercial land use).
Receipt of Acknowledgment
Upon submission, the applicant receives an acknowledgement slip as evidence of payment.
Collect Letter of Allocation
Subsequently, the applicant collects the Letter of Allocation.
Payment for Allocated Land
The applicant is required to make payments for the allocated land within a specified period, which should not be less than 90 days.
Confirmation and Plot Details
After payment, a Letter of Confirmation is issued to the applicant, including the plot and block numbers.
Processing by Scheme Officer
The Scheme Officer initiates the C of O application process, signing off on the file and forwarding it to the Executive Secretary of the Land Use Allocation Commission (LUAC) within five days.
Surveyor General’s Input
The Surveyor General provides the Scheme Officer with a digitized survey copy within two days.
Approval by Executive Secretary LUAC
The Executive Secretary of LUAC approves the processing and signs a letter of allocation.
10. Review by Senior Special Assistant (SSA) to the Governor, Lands:
The file is reviewed by the Senior Special Assistant to the Governor, Lands, who sends it to the Permanent Secretary (PS) of the Lands Bureau with a covering memo within two days.
Governor’s Approval:
The Permanent Secretary submits the file to the Governor, who approves it within two days.
Electronic Signing of C of O:
The Governor electronically signs the Certificate of Occupancy. If there are queries, they are relayed back for correction.
Further Processing by Deputy Registrar:
Once approved, the file is sent to the Deputy Registrar for additional processing within two days.
Final Registration by Registrar of Titles:
The Deputy Registrar forwards the file to the Registrar of Titles, who completes the final registration within two days.
Printing of C of O:
The Registrar of Titles requests the printing of the Certificate of Occupancy, concluding the process within one day.
What sets apart a Right of Occupancy (R of O) from a Certificate of Occupancy (C of O)?
In simple terms, a Right of Occupancy is like an invitation to use a piece of land, while a Certificate of Occupancy is the official title that legally establishes ownership. For more insights, check out details on accessing federal mortgage loans in Nigeria.
Conclusion
In conclusion, owning land is a fundamental right in Nigeria, but it’s not an automatic privilege. The Governor of the state where the land is situated grants this right after specific criteria are met. Commonly referred to as a C of O, the Certificate of Occupancy is the official document issued by many state governments to affirm the legitimacy of ownership for landowners and property buyers once all necessary requirements are fulfilled
