Toluwani Ajayi, PhD
(Managing Partner), Alias Legal LP· October 2026
Property is the largest purchase most people will ever make, and in Nigeria it is also one of the most frequently disputed. Many of those disputes begin the same way: a buyer pays for land on the strength of a document that turns out not to confer good title.
This article explains, in plain terms, how land ownership works under Nigerian law, which documents matter, and the checks every buyer should carry out before paying.
Who owns land in Nigeria?
The starting point is the Land Use Act 1978. The Act vests all land in each State in the Governor of that State, who holds it in trust for the benefit of all Nigerians. Land in the Federal Capital Territory is administered by the Minister of the FCT on behalf of the President.
The practical consequence is that a private individual or company does not own land outright. What a person holds is a right of occupancy, which is the right to use and occupy the land, usually for a fixed term. There are two kinds:
- A statutory right of occupancy is granted by the Governor and applies mainly to land in urban areas.
- A customary right of occupancy is granted by the Local Government and applies to land in non-urban areas.
A statutory right of occupancy is evidenced by a Certificate of Occupancy, and it is commonly granted for a term of 99 years.
The documents that prove title
Sellers and agents describe land by reference to many different documents. They are not of equal weight.
Document
What it is
What to bear in mind
Certificate of Occupancy (C of O)
The certificate issued by the State Government to the first holder of a right of occupancy.
Strong evidence of title, but it can be set aside if someone else proves a better title.
Deed of Assignment
The deed by which a holder transfers the remainder of their interest to a buyer.
It should be consented to, stamped and registered to be fully effective.
Governor's Consent
The Governor's approval of a transfer of land that already has a title.
Required each time the land changes hands.
Gazette or Excision
Publication showing that government has released land to an indigenous community.
Confirms the land is free from government acquisition; it is not itself a title in the buyer's name.
Survey Plan
A plan showing the boundaries, size and location of the land.
Describes the land but does not prove ownership.
Receipt or Contract of Sale
Evidence that money was paid or a sale was agreed.
Shows a transaction took place; it does not transfer legal title.
A receipt and a survey plan together are not a title. A buyer who holds nothing more remains exposed.
Governor's consent and registration
Under section 22 of the Land Use Act, the holder of a statutory right of occupancy may not transfer it by assignment, mortgage, sublease or otherwise without the consent of the Governor. The Supreme Court confirmed in Savannah Bank v Ajilo that this requirement applies to every such holder.
The parties may sign their agreement before consent is given, but the transfer is not complete in law until consent is obtained. Completing a purchase properly, a process usually called perfection of title, therefore involves three steps:
- Governor's consent to the transaction.
- Stamping of the deed, on payment of stamp duty.
- Registration of the deed at the Lands Registry of the State.
An unregistered deed is vulnerable. In most States it cannot be relied on in court as proof of title, and a later buyer who registers first may gain priority. Fees and procedures vary from State to State, so they should be confirmed at the outset and included in the budget for the purchase.
Due diligence before you pay
The time to investigate is before any money changes hands. A careful buyer, or the buyer's lawyer, will carry out the following checks.
- Search at the Lands Registry. Confirm that the seller is the registered holder and that the land is free of mortgages, cautions and other encumbrances.
- Charting of the survey plan. Have the survey plan checked at the office of the Surveyor-General to confirm that the land does not fall within an area acquired or committed by government.
- Company search. Where the seller is a company, search at the Corporate Affairs Commission to confirm that it exists, who its directors are and whether the property is charged.
- Probate search. Where the owner has died, confirm that the sellers hold a grant of probate or letters of administration.
- Court search. Check whether the land is the subject of pending litigation.
- Physical inspection. Visit the land, confirm who is in possession and speak to neighbours. Someone in occupation may have rights that do not appear on any register.
- Verification of identity and authority. Confirm that the person selling is the owner, or holds a valid power of attorney from the owner.
Family land and purchase from abroad
A great deal of land in Nigeria is held by families and communities under customary law. Such land belongs to the family as a whole, and no single member can sell it alone. As a general rule, a valid sale requires the consent of the head of the family together with its principal members. A sale by the wrong people can be set aside, sometimes many years later, so a buyer should establish exactly who is entitled to sell and ensure that they all sign.
Nigerians living abroad face a particular risk, because they often buy through relatives or agents and cannot inspect the land or attend the registry themselves. Three precautions reduce that risk considerably:
- Instruct an independent lawyer, who acts for the buyer alone and not for the seller or the agent.
- Pay the purchase price only after the searches are complete, and pay it to the verified owner.
- Where someone must act on the buyer's behalf, use a properly drafted power of attorney that limits what that person may do.
In summary
Most property disputes in Nigeria can be traced to steps that were skipped at the time of purchase. A buyer who investigates the title, deals with the right seller and perfects the transfer by consent, stamping and registration is in a far stronger position than one who relies on a receipt and a promise.
Alias Legal LP advises buyers, sellers, investors and lenders on property transactions in Nigeria, including clients based overseas. To discuss a transaction, contact us at Advice@aliaslegal.com
This article provides general information only and does not constitute legal advice. Land law and procedure differ between States, and specific advice should be obtained before entering into any transaction.