Every year, thousands of Nigerians lose millions to property fraud. The EFCC reported over 2,000 real estate fraud cases in 2023 alone, with losses exceeding ₦15 billion. Here's how to protect yourself.
The 7 Most Common Scams in Nigeria
1. Fake Title Deed Scam
What happens: Fraudsters present forged Certificate of Occupancy documents for properties they don't own.
Red flags:
- Unusually low prices
- Pressure to pay quickly
- Reluctance to allow property inspection
- Missing documentation (no survey plan, no building approval)
- Seller avoids meeting at the property
How to verify:
- Visit the Land Registry to verify the C of O
- Check with Surveyor General for authentic survey plan
- Always visit the property with a licensed surveyor
- Engage a lawyer for due diligence
2. "Omo Onile" Land Grabbing Scheme
What happens: Individuals claim ancestral ownership and sell land they have no legal right to, often in areas like Lekki, Epe, or Ikorodu.
Red flags:
- No proper documentation beyond verbal claims
- Cash-only transactions
- Multiple "owners" claiming the same land
- Threats when you ask for documentation
How to verify:
- Check with local government for land allocation records
- Speak with traditional rulers and community leaders
- Search court records for pending litigation
- Engage a licensed surveyor to verify boundaries
3. Advance Fee Fraud (419) Property Scheme
What happens: Scammers request upfront payments for "processing fees" or "legal charges," then disappear.
Red flags:
- Upfront payment requests before showing documents
- Unrealistic deals (luxury properties at suspiciously low prices)
- Pressure tactics ("Limited time offer")
- Communication only via phone/WhatsApp
- Money transfers to personal accounts
How to verify:
- Visit the agent's physical office
- Verify company registration with CAC
- Use escrow services, never direct transfers
- Check if agents are registered with ESVARBON
4. Duplicate Sale Scam
What happens: Fraudsters sell the same property to multiple buyers, collecting deposits from each.
Red flags:
- Seller avoids property visits
- Incomplete documentation
- Rush to complete transaction
- Unusual payment terms (cash only)
- Property appears vacant
How to verify:
- Conduct comprehensive title search at land registry
- Speak with neighbors about ownership
- Verify current occupants
- Check if property appears in multiple listings
5. Unapproved Building Scam
What happens: Sellers market properties built without approvals or on land zoned for other purposes.
Red flags:
- No building approval documents
- Property in areas with known demolition threats
- Seller cannot provide planning permits
- Recent construction with no approval notices
How to verify:
- Check with state's physical planning authority
- Verify building plans and approvals
- Confirm land is zoned for residential use
- Hire a building inspector
6. Mortgage/Encumbrance Scam
What happens: Sellers sell properties with existing mortgages or liens without disclosing them.
Red flags:
- Seller avoids bank verification
- No discharge of mortgage documents
- Property appears underutilized despite good location
- Unclear ownership history
How to verify:
- Check with banks for existing mortgages
- Search court records for liens or judgments
- Conduct comprehensive title search
- Check for pending litigation
7. Fake Agent/Broker Scam
What happens: Imposters pose as licensed agents, collect fees, then disappear.
Red flags:
- No professional registration or license number
- No physical office
- Pressure for immediate payment
- Inability to provide references
How to verify:
- Verify agent's registration with ESVARBON
- Check CAC registration for companies
- Visit their registered office
- Research previous transactions and reviews
Quick Verification Checklist
Before any property purchase, verify:
- Original Certificate of Occupancy verified at Land Registry
- Survey plan authenticated with Surveyor General
- Building approval from physical planning authority
- Title search completed (no encumbrances)
- Physical inspection with licensed surveyor
- Legal opinion from reputable lawyer
- Escrow account for payments (never direct transfer)
- Seller's identity and company registration verified
When to Walk Away Immediately
Terminate the transaction if:
- Seller refuses proper verification
- Documents cannot be verified at official registries
- Multiple red flags appear
- Pressure tactics intensify
- Unusual payment requests (cash only, personal accounts)
- Property has pending litigation
Remember: No property deal is worth the risk of fraud.
Your Best Defense: Professional Help
Always engage:
1. Licensed Estate Surveyor (ESVARBON registered) - For valuation and due diligence
2. Real Estate Lawyer - For legal documentation and title verification
3. Licensed Surveyor - For boundary verification
4. Building Inspector - For structural assessment
Cost: Professional fees (2-5% of property value) are minimal compared to losing your entire investment.
Key Takeaways
- Always verify documents at official registries
- Never pay before completing due diligence
- Engage licensed professionals
- Use escrow services for all payments
- Trust your instincts—if something feels wrong, it probably is
About CHOLAN HOMES & REALTY
At CHOLAN HOMES & REALTY, we prioritize transparency and legal compliance. Our licensed team ensures every property undergoes comprehensive due diligence.
Need safe property investment guidance?
📞 Phone: +234 813 189 0974
📧 Email: cholanhomesandrealty@gmail.com
