In Nigeria, property ownership is governed by various types of property titles, each representing a specific legal right and level of ownership. Understanding these different types of property titles is essential for individuals looking to purchase or invest in real estate in the country. In this article, we will explore the most common types of property titles in Nigeria, shedding light on their characteristics and implications for property ownership.

Freehold Title

Freehold title is the most comprehensive and absolute form of property ownership in Nigeria. When someone holds a freehold title to a property, they have full and unrestricted ownership rights. This means that the property can be sold, transferred, or inherited without limitations or interference from third parties. Freehold titleholders have the right to use, possess, and develop the property as they see fit, subject only to local regulations and zoning laws.

Leasehold Title

Leasehold title, on the other hand, grants the holder the right to use and possess the property for a specified period, as stipulated in the lease agreement. The lease period can vary, ranging from a few years to several decades, depending on the terms negotiated between the lessor (landlord) and lessee (tenant). Although the lessee does not have the same level of ownership as in a freehold title, they can use and benefit from the property during the lease period. Once the lease expires, ownership reverts to the lessor, unless a renewal option is included in the lease agreement.

Certificate of Occupancy (C of O)

The Certificate of Occupancy is a vital document issued by state governments in Nigeria. It serves as proof of the right to occupy and use a piece of land for a specified purpose. Holders of a C of O have a leasehold interest in the land and are granted a specific tenure, typically for a period of 99 years. The C of O is subject to renewal upon expiration, subject to the payment of renewal fees. This title is essential for securing financing and demonstrating a secure interest in the property.

Deed of Assignment

A Deed of Assignment is a legal document used to transfer ownership rights from one party to another. It is commonly used to convey rights and interests in a property from the seller (assignor) to the buyer (assignee). This document is crucial for demonstrating the transfer of ownership and should be duly registered with the relevant land registry to be legally valid.

Deed of Conveyance

The Deed of Conveyance is a document used to transfer legal ownership of a property from the seller (conveyer) to the buyer (conveyee) without any encumbrances. This title is typically associated with freehold properties and serves as a legal instrument for transferring full ownership rights.

Governor’s Consent

Governor’s Consent is a critical approval required for the transfer of title to certain types of properties, especially those on government land or properties with a Certificate of Occupancy. The Governor’s Consent ensures that the transfer is legally recognized and protects the interests of both parties involved in the transaction.

Understanding the different types of property titles in Nigeria is crucial for individuals engaging in real estate transactions in the country. Freehold title provides absolute ownership rights, while leasehold title grants the right to use a property for a specified period. The Certificate of Occupancy and Governor’s Consent are essential documents for securing and transferring property rights. The Deed of Assignment and Deed of Conveyance serve as legal instruments for property transfers. Buyers, investors, and developers should thoroughly review the title documents and seek legal advice to ensure that their property transactions are conducted securely and in compliance with the relevant laws and regulations.