RIGHTS, TITLE & BENEFITS IN REAL PROPERTY

 

A bundle of rights is a broad term used to organize property rights (as they relate to real estate); a bundle of rights is comprised of five different rights of the property owner: the rights to possess, control, enjoy, exclude and dispose. The right to possess is the right to occupy the property. The right to control is the right to determine interests and uses for others. The right to enjoy is the right to use the property without outside interference. The right to exclude is the right to refuse others’ interests or uses for the property. The right to dispose is the right to determine how and determine whether or not to sell the property to another party.

Right of Possession

The right of possession refers to the rights given to the title holder of a particular property. These rights may be limited in certain instances, such as when a title holder fails to pay required property taxes, but in most regards, the title holder is considered the owner of the property.

Right of Control

The right of control allows the title holder the ability to manage the use of the property in any means deemed legal within the jurisdiction in which the property exists provided the right to control does not encroach on rights of other adjourning land or home owners.

Right of Exclusion

The right of exclusion allows the title holder to limit who may or may not enter the property. This applies to most situations except when certain easements are in place, or when a warrant authorizing the search of the property is properly issued and served by agents of the law enforcement agency.

Right of Enjoyment

The right to enjoyment asserts the title holder’s right to participate in any activities he finds pleasurable while on the property. The activities in question must fall within the confines of the law and most not override rights of other land/home owners within the same neighborhood.

Right of Disposition

The right of disposition confers on the title holder power to transfer ownership, either permanently or temporarily, to another qualified party at will provided that in cases where there is joint ownership such as a family land/property, all the principal members of family assent to the sale or transfer.

Acquisition and retaining title to land all over the world have always been a very contentious matter which sometime results to violence. In Nigeria, prior to 1978, all land belonged to the communities in which the land is situated. This practice resulted in a lot of fraud, corruption and nepotism by the land owners who were usually represented by the elders of the communities who held the land in trust for the people. The Nigerian Military Government at the time therefore promulgated the Lands Use Act, 1978 (the Land Use Law) to remedy some of these hardships in the old land ownership system.

A major provision of the Land Use Law is that all land in the urban area are held in trust for the entire people of that State by the Governor of that State whilst land in rural areas are held in trust for the entire community by the head of the Local Government Area where the land is situated. Lands that had been transferred or sold before the 1978 Law are still recognized under the subsisting Land Use Law.

Another provision of the Land Use Law is the requirement that any transfer of any interest in any land whether by assignment, mortgage, transfer of possession, long sublease or otherwise would only be recognised in Law if the prior consent of the Governor of the State or the Head of the Local Government – depending on whether the land is State or Local government land – is sought and such prior consent is obtained.

Since, you cannot give what you don’t have! The title obtained by the owner is invariably what is passed to the bonafide purchaser- whether legal or equitable.

 

REALITY OF REALTY

 

real-estate

The foremost reality about realty is that everyone needs one. Whether as a single person, alongside your spouse or family unit-immediate, extended or even a large compound family. It forms part of the basic needs of man. Hence whether sooner or later the need to purchase or build becomes the reality of the day. Unfortunately, not everyone is armed with the requisite information.

Knowing the approximate value of a property is only the first step to getting a good deal. Never be afraid to ask for a lower price and be an aggressive negotiator. The worst thing you can do is rush into a purchase or get bullied into one and pay beyond the actual market value. Go into the negotiations with a maximum price, a starting offer and several ideas on what you can offer instead of price tag. We sometimes get caught up in the financials or the staging of the home and forget about some important aspects of buying or selling a land/property.

One major area is for you to involve different professionals. They may include,

  1. Real Estate Agents
  • Provide a visual representation of the property for sale
  • Assess and provide valuation report of the current value of the property
  • Meet requirements of the real estate listing/purchase contract
  • Have adequate information to avoid delays in completing property transactions
  1. Surveyors
  • To ascertain the measured size of the land
  • Establish beacon around the property upon purchase
  • To confirm the accuracy of the location of the property.
  1. Lawyers
  • Conduct legal search to confirm if there exist any encumbrance on the property
  • Process the home sale or buy transaction
  • Participate in Negotiation
  • Prepare all legal documents and
  • Comply with all regulations.

By and large, finding and evaluating commercial properties is not just about farming neighbourhoods, getting a great price, or sending out smoke signals to bring sellers to you. At the heart of taking action is basic human communication. It is about building relationships and rapport with property owners so they feel comfortable talking about the good deals – and doing business with you.

I wish you the best in your purchase!