16/10/2021
By Admin
0702448246
Legally, land in Uganda can be owned in four ways:
i). Customary,
ii). Freehold,
iii). Mailo and
iv). Leasehold.
Before one buys land, one is required to carry out a few steps generally called due diligence. Because;
“Lands are not vegetables that are bought from unknown sellers. Lands are valuable properties and buyers are expected to make thorough investigations; not only of the land but of the sellers before purchase.”
DUE DILLIGENCE STEPS TO TAKE BEFORE BUYING LAND:
Ascertain the particular details of the land like who is registered on the title, location of the land, size of the land etc. If the land is registered, cause a search at the relevant land registry to confirm the real owner. To search registry, write a formal/ordinary letter to the registrar of titles and pay 10,000 to URA.
SPOUSAL CONSENT, the buyer should avoid buying family land which could be land where a family lives or land where a family does business or farms. Because then you will need both the wife and husband to agree in writing to sell to you the land. If you insist on dealing with just one of the married people, the other partner can run to court and nullify sale.
PHYSICALLY VISIT LAND AND OPEN BOUNDARIES, the buyer should physically visit the land and cause boundary opening to confirm whether there are no people on the land, or if the boundaries are consistent with what the seller says. What is on the land? Ask the locals, local authority to ensure that the respective pieces of land belong to seller.
CHECK WITH THE RELEVANT AUTHORITIES LIKE NFA or NEMA and find out the use under which that land is put. It might be a road reserve, a wetland or a forest.
CONSULT A SURVEYOR in clarifying and verifying the dimensions, measurements etc on the land in question to be very sure of what you want to buy.
GENERAL TIPS FOR BUYING PROPERTY IN UGANDA:
1. Identify your prospective property through a Real Estate Agent or trusted source.
2. Secure an appointment to visit the property site in question.
3. Ask to meet the Property Owner to discuss more details including the price.
4. Verify the Property Documents using the Lands office, it should cost you not more than UGX 50,000.
5. Property documents checklist
a) Title documents of the property
b) Nature of title: Mailoland, Leasehold, freehold, customary or Kibanja or development right
c) In case of the seller claiming development rights to the property, the agreement and power of attorney, executed by the owners in favor of the seller should be presented.
d) All title documents being duly stamped and registered at the land registry.
e) Identities of the seller especially the passport or national ID issued by the National Identification and Registration Authority (NIRA)
f) Information on pending or past court matters.
g) Availability of original title documents with the seller.
h) Encumbrances if any (doing a title search at the lands office should show whether the land in question has any encumbrances or not).
6. Verify the identity of the Seller. Never buy land from anyone who doesn’t have the original National ID. Don’t allow copies of the National ID to be used in the transaction.
7. Land Sale Agreement/ Rental Agreement/ Lease deed .
8. Transfer of the Property title deed to the new owner – always use a trusted person to transfer your property. I know fraudulent people in this field who have transferred properties to their names instead of the real owners and the cases have been dragging in courts for decades.
9. How do you check property before buying?
Key legal checklist for buying a property
a) Property documents checklist.
b) Verify the identity of the seller.
c) Conversion and land-use permissions.
d) Construction approvals.
e) Occupancy certificate.
f) Status of tax payment.
g) Physical survey and access to the property.
CAUTION.
✍ Unless you are very sure of the identity of the seller after doing thorough verification, avoid buying any land which appears to be too cheap. Cheap things are very expensive.
✍ Avoid sending money by Mobile Money to the seller (more so to numbers which aren’t registered in his/her names). They will later deny such payments and make you pay again.
✍ Don’t allow a seller to convince you to withdraw money directly from your phone, he/she will later deny such a transaction. Record calls when discussing key issues pertaining the property and when making payments, do a video recording and back it up on Google drive or send it to someone in an email or create a folder on your email account and save it there. It may save you 20 years later when the Bazukulu turn against you.
✍ If the money involved is beyond UGX 20m, I advise you to make the transaction in a less crowded banking hall where there are CCTV cameras.
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