How to Buy land in Uganda
How to Buy land in Uganda : Buying land in Uganda can be a seamless process that is if you follow the right channels, of recent buying land in Uganda has become hard as the industry has become infested with conmen which has resulted into many people losing their money in the name of buying land which does not exist.
The only way to buy land in Uganda hassle free is by using the right legal procedures that will protect your rights as the buyer as outlined by www.moorlandconsults.com
- Site Visit to the Land/Property
The first to take when buying land in Uganda is visiting the site “Land you intend to buy’, having a site tour will help you know all the aspects of the land you are intending to buy in terms of economic and social infrastructure.
Also, help you appreciate the geography of the area, its neighbourhood and some of the individual preferred features. Once you are satisfied that this is the land you wish to purchase,the next step to take is knowing the details about the land – property including
- The land tenure system
- The type of the property
- The price of the land and its authentic owner
Usually, this information cannot be got from the land registry, this information that is the history of the land can only be got from the locals living around the area and know the property very well. Local council leaders such as the chairman of the area can be very useful, though the information may not be authentic 100%, it gives a little clue about the land you are intending to buy. If you are trying to buy land in low lying areas or in the swamp, it is vital you contact the National Environment Management Authority for a report regarding the property and its use.
- Appoint a Lawyer/Company to help you through whole process
Get a professional advocate/company to help you through the process, your lawyer/company will advise, help you get more information you are trying to buy and what to do professionally.
- Land Title Search in the Land Registry Office
Searching for the Land Title is the next step to take when buying land in Uganda, your lawyer will help you to verify the authenticity of the land title in the Land Registry office. To do this, you will need a copy of the land title deed from the seller for the search to be carried out on the land. The Land Registry Office will offer you a Search Report showing the names of the owner in question plus all other necessary details as indicated on the title. Usually, it takes one to three days to get the search results for your application form, the search application form will be attached together with a title copy. In case you are buying land from a company or an organisation, you will have to do a company registry search at the Register of Companies to ascertain that you are dealing with an appropriately incorporated company. Through the search, you will establish and identify the company directors as well as the shareholders selling the property.
The search helps the buyer to ascertain the right ownership of the land, establish its existence, identify several conditions, caveats and pending rates imposed on the land title.
- Meet the Owner and Negotiate Prices
As a buyer, once you are contented with the search results as presented to you by your lawyer
from the lands registry, the next step to take is meeting the owner for discussions about the price of the land. Meeting the owner of the land in person or any individual entrusted to see the land is very crucial, for any one who is not the real owner of the land. He or she must hold the Powers of Attorney which empowers him or her to do such a transaction on behalf of the owner of the land. Through the negotiations, you will agree on the final price of land. That is after several offers and counter-offers between the buyer and the seller.
- Use a Professional Surveyor/Company to Verify the Land Size
Before executing the transaction, it is very essential to verify the right size of the land you are
intending to buy. Get a professional registered surveyor to carry out a topographic survey of the land and confirm its size and shape as indicated on the title.
A professional surveyor will also identify the boundaries and mark stones of the land and in respect to that, he will issue a survey report to you.
- Preparation of the Sale Agreement
At this point, a Sale Agreement is drafted that is when a seller and buyer agree on the terms of the offer. The seller’s advocate drafts the agreement and presents it to the buyer’s advocate for perusal and approval, it is very vital for the buyer to entirely understand the agreement’s terms of sale.
The buyer’s lawyer must clearly clarify all the clauses in the sales agreement and their implications.
When all is decided upon by the two parties, the advocates will expedite and eyewitness the
effecting of the agreement. Once it is executed, the agreed deposit of money is extended by the purchaser through their advocate to the seller’s account directly or to the lawyer.
However, the safest way to protect the buyer’s money is keeping it in the accounts of the lawyer since it acts as a check against fraudsters.
- Payment of land rates
Knowing the payment of rates on land by the buyers is a legitimate requirement of land owners, the land sellers should clear any pendant rates on the property before completion of the transaction. A seller should present a clearance certificate for the land before it is transferred to the buyer.
- Transfer Documents and Consent to transfer (land title transfer forms in Uganda)
The advocate of the seller organises transfer documents to be executed by both parties (the
buyer and the seller), these documents will only be accomplished following an issued consent to transfer by the commissioner of lands.
- Property Valuation
An application of valuation will be made to the government valuer who will make a site visit to enable him/her so as to prepare the requisite valuation report for the purposes of Stamp duty which is very vital as it acts as a registration fee for the property.
This duty is determined by a professional government valuer, the valuation is made to determine the true open market value of the land as of the date of the transfer. Also, helps to estimate the declared value in the documents availed for registration to ascertain value declared in the instruments if it will be raised up or not.
Therefore, the buyer of the land is responsible for applying for the valuation of the land using the valuation form properly completed by the seller. The Lands Office uses such paper to fix the stamp duty payable.
- Stamp Duty Payment
When the registration is done, the lawful possession of the land in question shall have legally changed hands there and then, in order to expedite registration of transfer the following
documents have to be available. These documents include
- The original title deed of the land
- Original stamp duty assessment forms and receipt
- Duly stamped transfer documents
- Original paid – up land rents receipts and clearance certificate
- Stamp duty valuation report
- Original land rates clearance certificate
- Consent to transfer
- Application of registration
- Registration of Transfer
When the registration course is done, the lawful possession of the land shall have legally
changed hands from the seller to the buyer, in order to expedite registration of transfer the following documents are supposed to be available.
- The original title deed of the land
- Original stamp duty assessment forms and receipt
- Duly stamped transfer documents
- Original paid-up land rents receipts and clearance certificate
- Stamp duty valuation report
- Original land rates clearance certificate
- Consent to transfer
- Application for registration
- Final Payment and exchange of Completion Documents
After receiving the completion documents from the seller, the buyer is obliged to pay to the seller the total balance on the purchase price through a lawyer to complete the registration of the documents following payment of the obligatory stamp duty.
Documents from the lawyers of the seller encompass the land’s original title deed, the signed and witnessed transfer documents into the buyer’s name, receipts indication paid up land rents plus clearance certificate and the consent to transfer. When you follow all the above procedures when buying land in Uganda, it is very hard to get cheated and in case it happens, land lawyers/Companies are in a better position to advise you on the nitty-gritty of the whole transaction.
Once your lawyer/companies like www.moorlandconsults.com is fully satisfied about the documents presented, he will advise you to proceed with the transaction.
