Would you like to know what the new Lagos land laws portends for real estate investors?

The Lagos State House of Assembly, through the Speaker, Mudashiru Obasa, revealed the plans to pass a new law seeking to regular property-based transactions in the State. When implemented, the law will help the indigenes to have a higher “say” on such transactions.

Find out, in this article, how the new Lagos land laws will reshape real estate investments in the State.

What to Expect when the Law is Passed

If what the Speaker of the legislature is anything to go by, the passage of the law will redefine how real estate transactions are carried-out.

Here are some key takeaways:

1. Laws on Property Acquisition

One of the key takeaways is that the new property acquisition and business ownership laws are targeted at helping individuals and business owners to acquire and use properties within the laws of the State.

Hence, anyone found defaulting will risk having the full consequences of such a mistake effected to the latter.

2. Economy and Commerce as Cardinal Points

As per the statement credited to the House’s Speaker, “there would be laws and resolutions in the areas of economy and commerce, property and titles.”

As such, one can expect the new property laws to not only streamline the modes of property ownerships, but also ensure the basis of this on the commercial and economic standpoints.

Also Read: What is the Difference between Contract of Sale and Deed of Assignment?

3. Who Gets Favored?

If the information out there is true, it seems that the new Lagos land laws will favor the indigenes. That would be part of the government of the day’s efforts to reposition the State’s real estate market and give the indigenes a “sense of belonging.”

How Effective Will the New Lagos Land Laws be?

In retrospect, the new laws will go a long way to “return” real estate transactions to Lagos State indigenes, while giving other residents and migrants a sense of belonging.

But the question remains on when the laws will kick-off or when they will implement it? And when they are, what are the likely focus areas?

As the Speaker of the House has been quoted, “we will reverse all that is reversible to protect the interest of the indigenes.”

If the statement is to be followed verbatim, one can assume that the laws would not only be futuristic, but might be backtracked to “right any wrongs” that may have been done in the past – via property acquisitions in the State.

What’s the Way Forward for Real Estate Investors in Lagos?

As a real estate investor, you may rightly have cause for concern in investing in properties in the State, following the new Lagos land laws.

Should you be worried? Let’s explore some of the best options:

a. Keep Your Eyes Open

If you are not in a haste to buy a property, it makes sense to wait for some time to see how the new Lagos land laws will hold. You want to be sure the law doesn’t restrict your investments. You need to be sure you are buying properties that wouldn’t be threatened by “acts of legislature.”

b. Speak to a Trusted Real Estate Professional

In uncertain times as this one, you need an expert who has weathered some similar storms in the past for counselling. Luckily, we can help you explore your options for property ownership in Lagos State of Nigeria, even amidst the dust the new Lagos land laws is raising.

c. Increased Investor Confidence

Real estate investors are more confident when they are sure that the government or the law is “on their side.”

In view of the new Lagos land laws, it makes sense to understand your options and how the new laws will make property investments easier and attractive for you.

Once again, you need wise counsel from a reliable real estate company to help you determine the best investment options.

d. Reduced Property Issues

In the past, it was difficult for property investors to own a land or any other property in the State without having to engage in one scuffle or the other. Hopefully, the implementation of the new Lagos land laws will introduce a new pattern of resolving such disputes.

With the laws clearly stating the mode of property acquisition in the State; one can expect that most of these land-related disputes will not even come up.

Also Read: Best Choice of Lagos Real Estate Investment If You Live in Canada

Economic Implications of the New Lagos Land Laws

If passed, the new Lagos land laws will not only change the property ownership models in the State, but also dictate the real estate economic landscape.

Let’s look at some of the economic implications of these laws:

a. The Law of Demand

As per the laws of demand, it holds that:

  • When the price of a product rises, the demand falls.
  • When the price of a product decreases, the demand increases.

The question is now on whether the value or price of goods (properties) in Lagos will increase or decrease as the implementation of the new Lagos land laws kicks-off.

Here are what some experts think:

  • The value of lands and other related properties in the State will drop, if the laws seek to sideline non-indigenes and prioritize the State’s indigenes. As such, “foreign” investors will look towards other locations outside the State to purchase properties.
  • If foreign investors still wish to go ahead; they may want to go through proxies – which is a risk on its own.

b. Massive Sell-Offs

There are presumptions that if the laws see the light of day, there will be massive sell-offs in the Lagos real estate market, especially by the non-indigenes who will be looking to recoup their investments.

The New Lagos Land Laws: The Way Forward

Now that the Lagos State House of Assembly has stated the intention to pass a couple of laws bordering on property ownership; what is the best way forward for investors?

First, you should follow the trends, taking note of all that’s going on. That’s a better way to make informed decisions.

Second and most important, make a trusted real estate company your ally. We will help you invest in lands in Lagos State, while ensuring your compliance with the laws.