By following Dek Global’s 3 Pros, you can avoid getting scammed or defrauded while investing in Nigerian real estate 

Mr. Japa; a young Nigerian in diaspora, invested the sum of 14 million naira in real estate. He made the down payment for a four-bedroom detached bungalow in hopes that the property will appreciate and he could have somewhere to live when he returns to Nigeria. It has been 13 years now and Mr. Japa is still without property, nor has he reclaimed the initial sum of 14 million naira invested. This and many more are the stories of real estate investors who have been allegedly defrauded by Gran Imperio group and Metropole Interproject Limited, companies owned by the Ooni of Ife. 

As fraud in Nigerian real estate continues in obvious ways (and even with reputable personalities involved), there are various means to avoid falling victim. However, before we look through the Dek Global 3 Pros of real estate, let’s explore some prevalent causes of fraud in Nigerian real estate. 

Why people get scammed

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As discussed in the previous blog post, before making real estate investments, it is essential you harness all the real estate knowledge available to you. If you haven’t read the previous blog post, click here (add link). People fall victim to prevalent fraud in Nigerian real estate because they lack adequate knowledge of real estate investments and how they work. For instance, if you are investing in stock markets, it’s okay for you to send your money to your stock broker and relax at home. For real estate, the dynamics are different, it will be unwise for you to simply send your money to a realtor and relax at home. This is exactly how Mr. Japa got defrauded while investing in Nigerian properties. Gain insights and knowledge about real estate, click here to access our free social media tips. 

Lack of Physical Inspection

This is closely linked to the section above. If you have the requisite knowledge of real estate, you will understand the need to physically inspect Nigerian properties before making down payments. Distance makes fraud in Nigerian real estate easy. Investors that are unable to physically inspect Nigerian properties are more vulnerable. Perhaps if Mr. Japa had physically inspected the property, he would have realised the potential fraud that was looming. If distance plays a role, you can ask a trusted family member or friend in proximity to assist with the physical inspection. At Dek Global we are very transparent and we encourage you to physically inspect all our products before you invest. 

Lack of regulation

As much as there are laws guiding Nigerian properties and commercial transactions, the real estate sector of Nigeria is still largely unregulated. This makes it easy for fraud in Nigerian real estate to occur seamlessly. It also gives them the opportunity to go unpunished. The companies that allegedly defrauded Mr. Japa have not been punished and neither has Mr. Japa gotten his money back. 

Dek Global’s 3 Pros of Real Estate

The prevalent causes discussed above are the reasons real estate investors get scammed. However, they can be prevented. We will highlight three ways you can avoid getting scammed while investing in real estate. 

1. Property Inspection

We have discussed how a lack of physical inspection of Nigerian properties leaves you in a vulnerable position during investments. It is important you carry out proper checks on the property you wish to purchase. Ensure you are not mistaken about the allocation, get a surveyor to help you. Ensure that you are not buying misrepresented or non-existent properties. Be sure to understand the location and how it benefits you. Ensure you are not buying a plot in the ocean. At Dek Global, we encourage physical inspections and you can smell, touch, feel and maybe even taste the products we offer you. One of our products is Sheba Estate, it is seated at the heart of Iloti community and you are welcome to explore it. Check full video below. 

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2. Proper Review of Documents

A lot of fraudsters and unverified real estate agents take their activities a step further and produce fake documents. Many of the victims of the alleged fraud in Nigerian real estate perpetrated by Gran Imperio group and Metropole Interproject Limited have signed documents. It is  important to perform due diligence before acquiring properties. This means checking all documentations, titles and contracts. A quick stop at the land registry can prevent you from getting defrauded. This is the reason we hosted an instagram live session. This way, you can gain knowledge on how to prevent fraud in Nigerian real estate through due diligence and documentation. 

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Professional advice

In the previous blog post, we have discussed the need to have a team of experts, we have also made you understand the importance of networking in the real estate sector. If you haven’t read the previous blog post, click here (add link). A quick chat with real estate experts before investing in properties can save you from fraud in Nigerian real estate. If your team of realtors, lawyers and property experts help you review properties, you could also save yourself the time and most importantly the money. 

The truth is investing in real estate in Nigeria can be very risky. A lot of people like Mr. Japa have been defrauded by reputable individuals. It is not a case of victim-blaming but most times, these unfortunate circumstances can be avoided. You can avoid them by adopting Dek Global’s 3 Pros of real estate. Do not forget to view our instagram live session so that you can get more insights on investing the smart way and avoiding real estate scams in Nigeria.