The Legal Process of Transferring Property Ownership in Nigeria

Introduction: I Made a Costly Mistake by Skipping Governor’s Consent

When I bought my first land in Lagos, I thought I was smart. I got a Deed of Assignment signed, paid the seller, and moved in. Two years later, when I tried to sell, the buyer’s lawyer discovered that the land had a Certificate of Occupancy (C of O) but I had never obtained Governor’s Consent for the transfer. Legally, the land was still in the seller’s name. I had to pay late consent fees and penalties – an extra ₦2.5 million that I hadn’t budgeted. That mistake taught me the importance of following the legal process properly. In this article, I’ll walk you through every step of transferring property ownership in Nigeria, so you don’t repeat my error.

What Does “Transfer of Property Ownership” Mean?

In simple terms, it’s the legal process of moving title from a seller (assignor) to a buyer (assignee). The transfer can be by sale, gift, or inheritance. The most common is by sale. The goal is to ensure that the new owner’s name is recorded at the State Land Registry, giving them full legal rights to possess, use, and sell the property.

Step 1: Conduct Due Diligence Before You Even Negotiate

Before you agree on a price, do the following (I detailed this in Article 7, but I’ll summarise):

• Hire a lawyer and surveyor.

• Verify the seller’s title (C of O, Deed of Assignment, survey plan).

• Conduct a registry search to confirm no encumbrances.

• Physically inspect and beacon the land.

Never skip this. It’s the foundation of a clean transfer.

Step 2: Execute a Deed of Assignment or Deed of Conveyance

Once due diligence is done and you agree on price, your lawyer will draft a Deed of Assignment (if the land has a C of O) or a Deed of Conveyance (if the land is held under customary law without a C of O). The deed must include:

• Full names, addresses, and occupations of both parties.

• Detailed description of the property (survey plan number, address, dimensions).

• The purchase price and payment terms.

• A clause that the seller has good title and will indemnify the buyer against any future claims.

• A clause that the seller will obtain Governor’s Consent at their cost (negotiable).

Both parties sign in the presence of at least two witnesses. Each witness must sign with their full name and address.

Step 3: Payment of Stamp Duty

After signing, the deed must be stamped at the Federal Inland Revenue Service (FIRS) office. Stamp duty is usually 1‑2% of the consideration (purchase price). For a ₦50 million property, that’s ₦500,000 – ₦1 million. The FIRS will affix a stamp and issue a certificate of stamping. Without this, the deed is not admissible in court.

Pro tip: Pay stamp duty immediately. I once delayed for six months, and the FIRS charged me a penalty of 10% of the duty – an extra ₦50,000.

Step 4: Obtain Governor’s Consent (Critical for C of O Lands)

If the property has a Certificate of Occupancy, the Land Use Act (1978) requires that any transfer must be consented to by the Governor of the state. This is non‑negotiable. The process:

• Your lawyer submits an application to the Lands Bureau, attaching the deed, C of O, survey plan, tax clearance certificates of both parties, and evidence of stamp duty.

• The Bureau calculates consent fees – typically 2‑5% of the consideration. On a ₦50M property, expect ₦1M – ₦2.5M.

• After payment, the Governor signs a “consent” document, and it’s recorded on the C of O.

Waiting time: 3 to 9 months. Yes, it’s slow. You can pay a “fast‑track” fee (unofficial) to reduce the time, but I don’t recommend it.

What happens if you don’t get consent? The transfer is void. The seller can reclaim the land. You cannot get a mortgage or sell to another buyer. You’ll have to pay penalties and apply late, which may also attract an additional fee.

Step 5: Registration of the Deed at the Land Registry

After stamping and consent (if required), the deed must be registered at the State Land Registry. Registration serves as public notice that you are the new owner. You will receive:

• A Registered Deed (or a number assigned to your document).

• A Certificate of Registration.

Costs: registration fees vary by state but are generally 0.5‑1% of the property value. For a ₦50M property, that’s ₦250,000 – ₦500,000.

Step 6: Update the Survey Plan (Optional but Recommended)

You should lodge a copy of the approved survey plan with the Surveyor‑General’s office, updating the owner’s name. This prevents future boundary disputes.

How Long Does the Whole Process Take?

If everything goes smoothly and you have a good lawyer:

• Due diligence: 2‑4 weeks.

• Deed drafting and signing: 1 week.

• Stamp duty: 1‑2 weeks.

• Governor’s Consent: 3‑9 months.

• Registration: 1‑2 months.

Total: 5 to 12 months. Patience is essential.

Costs Summary for a ₦50 Million Property

These are significant – almost 20% of the property value. Many buyers ignore them, thinking they can cut corners. Don’t.

Conclusion

Transferring property ownership in Nigeria is a legal marathon, not a sprint. The costs and time are high, but the security you gain is worth every naira. Always work with a competent lawyer, never accept oral agreements, and always obtain Governor’s Consent for C of O lands. And if you’re looking for properties that already have clean titles, you can start your search on TNJC Homes, where we prioritise verified documentation.

Links:

1. Lagos State Lands Bureau – e‑Registry Portal – check property documents online

2. TNJC Homes Property Verification Guide – how we help you avoid legal pitfalls