Understanding the significance of due diligence in land ownership is crucial to secure your investment. It’s a meticulous process to avoid potential legal disputes and confirm the rightful ownership of the land. In Ghana, the focus is on conducting searches at various divisions of the Lands Commission:
Public Vested Lands Management Division (PVLMD): Identifies whether the land is state, stool, or family-owned.
Survey & Mapping Division (SMD): Establishes the initial phase of land registration, determining the land’s plotting (area, size, etc.) and associated individuals.
Land Title (LT): This represents the highest form of land registration, prevalent in select areas like Accra, Tema, Kumasi, and parts of Winneba.
Alongside the key searches within the divisions of the Lands Commission, other vital searches contribute significantly to a comprehensive due diligence process:
Land Use and Spatial Authority: Provides insights into the designated land use and regulations, crucial in determining the property’s feasibility for intended purposes.
High Court Search: A critical search to uncover any ongoing legal disputes or challenges associated with the land in question.
Administrator of Stool Lands: This search specifically delves into the administration of stool lands, essential in certain regions of Ghana for confirming land rights and ownership.
Customary Land Secretariat: Offers information on customary land tenure systems, playing a significant role in verifying land ownership rights within traditional structures.
These additional searches fortify the due diligence process, ensuring a thorough examination of the land’s legal status and ownership history.
In the upcoming third edition of due diligence (Due Diligence III) we will delve deeper into, spotlighting red flags to watch for when investing in real estate. Additionally, we will emphasize the critical importance of conducting all real estate transactions through the banking system. Stay tuned for this insightful edition, ensuring you make informed and secure real estate decisions. Thank you for being part of our community!
