Though there are many things involved in purchasing a land, but the most significant is the cost of it. This makes a lot of people to seek information about the current prices of land in a particular area. But before knowing the price, it’s important to understand the process, because it determines the whole cost and also help you make more informed decisions. This write-up will be more explicit on what’s involved and the cost of buying a land in top Nigerian cities like Lagos and Abuja.
In Nigeria, the cost of land is dependent on many factors. Just as a land in Lagos will likely not be the same as one in Abuja. Often times the location is very important to the overall cost of buying a land. Other factors which contribute to the general price of purchasing a land is the documentation and verification: as it connotes some certain amount of fee. Another critical factor is your budget, which is the amount you are intending spend for the land. However, let’s look more deeply on these factors that influences the cost of land in Lagos and Abuja.
Factors That Determines The Cost of Land
These factors are independent of the cost of land in Lagos and also Abuja. Below is the highlight of these major determiners on the prices of land.
This is obviously the very first thing to have in mind before you even start searching for land to acquire. Your must be certain of what your budget is, because it determines what type of land it will meet. This is directly tied to your decision of the cost of land you can possibly purchase.
A budget is principal to the cost of buying the land in the sense that it includes all what you will be spending to get the land. For instance, if you are with a budget of N1 million, you are sure of how much you are willing to spend on the acquisition of the land. In this case, you cannot go and make plans for a land that the cost is more than what you budget for.
Size and Location of the Land
The cost of land is another important factor to consider in buying a land in Lagos and Abuja. The expense of a plot of land in Eko Atlantic City, Lagos isn’t equivalent to what a similar space of land sells for in Kuje, Abuja. The difference in cost of the two is because of the distinguishing locations.
Contrasting the two, Eko Atlantic is one of the world’s front line new urban areas, and as of now it is in a developed phase. It’s a visionary project on a large scale, accomplished by a group of significant neighborhood and worldwide accomplices. While Kuje is a residential urban area in the Federal Capital Territory, Abuja.
The variation is that a lot of people are interested in areas that is much closer to commercial centres, and as such the cost of land become high. Moreover, the more monetarily progressed and urban an area is, the more costly it becomes to purchase land at such areas.
The documentation influences the cost of land in that it connotes some certain amount of fees you will ought to pay. These expenses should be covered in your budget, due to the fact that it’s not making up the main price of the land. That aside, it is quintessential to ask for the following documents, before you make payment for any land:
- The Certificate of Occupancy (C of O)
- The Survey Plan
- The Tax Clearance Certificate
- The Deed of Assignment
These documents verify the ownership of a land in any location in the country. As such, it is important not to make payment for land without the provision of these vital documents. Don’t be less attentive to this thing because this is one way fraudulent people can disguise themselves as land owners, just to exploit you.
Having knowledge of the cost of a land doesn’t infer about the general cost of securing the property fully. Extra fees that may come up includes:
- Survey Plan: Usually between N150,000 and N300,000.
- Legal Fee: About 5% of what the land costs.
- Agency Fee: Usually 5% of what the land costs.
- Cost of Signing Documents: Not static, but may apply in some cases.
- Cost of Securing Your Documents
That’s it on the factors that influences and the cost of land in Lagos and Abuja. This things is not only specific, but it however applies for all areas in the country.
The Cost of Land in Lagos & Abuja Currently (2020)
Generally, the cost of land is not the same for all areas in the country. The variation depends on the factors we earlier listed in this write-up. Following this, below is the view of the cost of land in Lagos and Abuja.
Prices of Plot of Land Various Areas in Lagos (2020)
The variation in the prices of land in the country is related to the location. For example, an area like Ikoyi, Lagos, which is one of the most prestigious office destinations in Nigeria, had the highest land prices at ₦400,000 (US$1,111) per square metre (sq. m.).
There was a slight decrease in Victoria Island, which is considered the commercial business district of Lagos. In this area, land prices averaged ₦200,000 (US$556) per sq. m. Also, the state capital, Ikeja, had an average land price of ₦113,000 (US$314) per sq. m. in H2 2018 according to the report.
The review of other areas in Lagos like Surulere and Ikorodu, it’s seen that they have relatively cheaper land prices. Lands in Surulere ranges from ₦52,000 (US$ 144) per sq. m. and as low as ₦6,000 (US$ 17) per sq. m. in Ikorodu area.
Prices of Plot of Land Various Areas in Abuja (2020)
In Abuja, price variation of lands is also as a result of location and size. An area like Lugbe district, land could go as low as ₦10,000 per sq.m, while a more advanced area like Area 2, Garki, a square metre of land is averaging on ₦130,000.
The illustration below gives a vivid picture on the prices of land in some strategic areas of Lagos and Abuja.
|Location||Description||Estimated Indicative Cost|
|Victoria Island, Lagos||Purchase, per square metre||$1,700 (₦595,000)|
|Eko Atlantic City, Lagos||Purchase, per square metre||$1,377 (₦482,000)|
|Banana Island, Lagos||Purchase, per square metre||$1,326 (₦464,100)|
|Apo, Abuja||Per slot||$85,714 (₦30,000,000)|
|Garki, Abuja||Per square metre||$372 (₦130,000)|
|Asokoro, Abuja||Per plot||₦60,000,000|
The above figures represents what the cost of land is in a particular case. It may slightly differ from what is obtained in the real case in another place. However, this is meant to give an image of the cost of purchasing a land in the specified region: Lagos and Abuja.
So far we’ve emphasize much on the cost of lands in Lagos and Abuja. This cost of land also reflects on other areas of the country, but it entirely depends on factors we outlined in the article.