Land Measurements in real estate in Nigeria
1 hectare of land is approximately 10,000sq or 2.5acres
1 acre of land is approximately 4,000sqm or 6plots of land
1plot of land in Nigeria can either be measured in 50feet (ft) by 100ft or 60ft by 120ft
Which ever you are given is fine, and this is the reason for that disparity, when a real estate company like ours for instance buy land, we don’t buy in plots, we buy in acres. This gives us the freedom to develop a layout for our self which is well planned and structured. That layout takes up a lot of space because that is what investors want. For instance, roads in a layout can take up to 20% of a land mass. So, to give room for all these, we do a 50ft by 100ft measurement. Omo-oniles that sell direct to you will probably do 60ft by 120ft but don’t expect any layout
Now, there is something to note here, when it comes to advanced real estate investment, land sizes don’t matter. In advanced real estate, it is called ‘a piece of property’. For instance, you may buy a piece of property that is not up to a quarter of a plot just because you want to build a shop, it is still a property. However, when it comes to Govt documentation, land sizes can have an impact.
I will give an example under survey fees and share with you some figures which you nor I are expected to have and explain how it works. So please do not because of land size ignore good deals
Now, lets look at some other stuff: When you are building a house, there are different stages, the first is the foundation, the work of the foundation is to connect the whole building to the ground and it transfers the load from the structure to the ground.
There are 2 types of foundation, Shallow and deep, we will get into more detail later. Just have in mind that how high your building will go will determine how deep your foundation should be
Window Level – Stand beside any window in your house, you will notice it is around hip height. The window level is around 4 coaches (steps) of blocks from the DPC
Next thing is the lintel – Openings in the walls of a building (windows, doors) create a vacuum. To continue building, you must create a support on which more blocks rests, so you place a beam. That is what is called lintel
Next you have the level – From foundation to lintel is roughly 8 coaches (steps) of blocks, after the lintel you will add another 2 or 3 steps of blocks, then you can go ahead with your roof.
All these are important because it will help you to do a rough estimate of things like how many blocks you need for a certain design of a structure etc
Next is the roof – There are like 3 types of roof designs (Hip roof – all sides slope down to the wall, Garbled roof – 2 longest sides slope down and Flat roof)
The most important term I want you to note today is what we call a kingpost, the king post determines the height of your roof which eventually determines the amount of materials and the cost. We will talk more on that later too. Still on roof, there is also what we call the ‘Eaves’. That is the part of roof that meets walls
Here is a gist: A few years ago, we did a survey and discovered that most people who are landlords today when they started building did not even believe they can do it. Now, when we dug further, we discovered that a lot of people can become landlords if they have just a little bit of information about building and how to go about it
That is what we are doing here. I believe as you learn more and more about buildings and the management etc, you will be inspired to get started
Fundamentals of building a house
Building of any kind is tied to land, so the first thing you need to get is land. Now, when it comes to land, people make a lot of mistakes, top on the list of errors people make is to ‘wait to buy land’ instead of ‘buying land and waiting’. You see when it comes to small property investing, your goal is not to look for property out of your reach but to go for property on the path of development that has good potential.
This is perhaps the best way to start your real estate investments. Unfortunately, most people are waiting until they hit a heavy pay-day and can afford that N6.5m plot of land in the next street. The problem with that kind of thinking is that 3years later when you have the 6.5m, the land has gone to 10m, so you must wait another 6months and then it is 12m…
That is not the way to play small property investing, we will cover more of this later but for now, lets talk about land fees. This is another mistake people make, you see when you are buying land of any sort in Nigeria, one thing should always ring in your mind, being able to take possession of the land and being able to utilise the land for your intended purpose. And to achieve this, there are usually fees. Some of the fees are hidden, some are well stated
1. Land purchase: This is what you pay the landowners to become the owner of the property. It is usually accompanied with a purchase receipt that shows you have a transaction in place.
2. Legal fees: You take it a step further to hire your lawyer to do a deed that assigns that property to you. Depending on who you hire, this is usually between 2.5% to 20% of the purchase price
3. Agency: Usually, there will be a go-between and that go-between will get like 5% – 10% of the purchase price. Usually if you are not experienced, the agent and the seller will try to skim off about 15% from you with the agent taking a full 10% from you and then going behind your back to the seller to get another 5%. But if you know what you are doing, u pay 5% and then the agent gets another 5% from the seller but usually there is a pre-arranged agreement on this to forestall issues and arguments.
4. CD (Community development): The fact that you have made a land purchase is not the end of the story. In fact, that is the start and once you make a purchase, you become a part of the community and you should get ready for CD (community development) projects. These are usually tagged development levies.
Now, the Govt is supposed to come, give power poles, give roads, give drainage and then take taxes, right? But you and I know they won’t come, so the community members tax themselves levies to grade their roads, make drainage, make perimeter fences (estate setting), employ security. Then when all is done and good, the govt will come to tax you based on how good you have taxed yourselves.
5. Survey: When I talk survey here, I am not talking of a registered survey. I am talking of an unregistered survey which includes you bringing in your personal survey to confirm that your 50ft x 100ft land is intact and then once this is done, he helps you establish (pillars) beacons on all the corners points of the land depending on the shape of the land. If the land is a rectangle, you have 4 pillar points, if it is shaped irregularly, you can have more. The most important thing is that the total area of the land is intact.
Now still on survey, I just mentioned that what you are doing here is an unregistered stuff. After this is done, your surveyor can take it further by doing a registered copy of your survey document with the Govt for an agreed fee. And a red copy is made sure to be available at the bureau of lands of the state you have your property in
We will talk more on this under land documentation
Now, don’t because of these fees, avoid good deals. If you see a good deal and you see these fees, just accept it in good fate and soldier on
These are 5 of the common immediate fees you pay when you acquire a land