The Lands Commission has strongly advised prospective homeowners in Ghana to conduct thorough due diligence before purchasing land. This warning comes as a critical measure to protect buyers from fraud, double sales, and expensive legal disputes.
The Commission, participating in the Republic Bank JoyNews Habitat Fair, highlighted that failure to verify ownership and properly register acquired property exposes buyers to significant risks. They stressed that land acquisition is not an ordinary purchase due to its long-term financial implications for individuals and the broader economy.
This caution is particularly relevant given Ghana's unique land ownership structure. Approximately 80% of land in Ghana is held under customary ownership, including family, stool, and skin lands. This complex system increases the potential for disputes if buyers do not confirm they are dealing with the legitimate owners.
Surv. Raphael Hokey, Acting Deputy Executive Secretary for Operations at the Lands Commission, emphasized the importance of due diligence. He stated that buyers must visit the land, request site plans, contact the Lands Commission for searches, and make local inquiries. This process helps ensure the legitimacy of the seller and the property.
Mr. Hokey also warned against sellers who refuse to provide site plans before payment, identifying this as a major red flag. He noted that a search at the Lands Commission can sometimes be completed in a single day, though more complex cases might take up to a month. A legitimate seller will readily provide necessary documents for verification.
Furthermore, the Commission cautioned prospective homeowners against rushing into construction before completing all legal and regulatory processes. Acquiring land does not automatically grant the right to build; appropriate permits must be secured first. Starting construction without permits breaches local assembly laws and can lead to penalties.
Registering properties after acquisition is another crucial step, according to Mr. Hokey. Registration provides an official record of ownership, serving as notice to the public and protecting buyers from subsequent claims on the same property. Failure to register can result in lengthy and costly legal battles.
The Lands Commission's participation in events like the JoyNews Habitat Fair aims to educate the public on secure home ownership. They provide vital information on land acquisition, property registration, and financing. This proactive approach seeks to mitigate risks in Ghana's real estate sector, which is a significant component of the national economy.
The integrity of land transactions directly impacts investor confidence and the stability of the housing market. Ensuring proper procedures are followed helps prevent financial losses for citizens and supports the orderly development of urban and rural areas across Ghana. The Commission's advice is a timely reminder for all involved in land transactions.