STEP BY STEP APPROACH ON PURCHASE OF LAND IN UGANDA
THE STEPS INVOLVED IN COMPLETING PURCHASE OF LAND.
Land in Uganda is riddled with conmen and fraudsters and the buying process most times takes a turn in an unimaginable direction. Therefore, the process of purchase of land has to be done in a very careful manner to avoid buying land tainted with fraud.
In summary, the following are the well-defined steps taken in the process of acquiring land legally in Uganda moves along these well-defined steps;
Appoint a Lawyer to help you through whole process.
A professional advocate is very crucial almost at all stages of land purchase. He will advise you technically on what to do.
A site visit to the property.
This is the first step in purchasing land. A site tour will help know area in all aspects of economic and social infrastructure. Site visit also helps you appreciate the neighborhood, the geography and other preferred features. Once satisfied that this is the right land you may buy, get to know the
following details about the property. Get to know the property type, the land tenure system, the asking price and the real owner. Usually, there is some information the land registry will never give you regarding the property history.
Such information can only be got from the locals around the area who know the property very well.
Local council leaders can help well on this. What you gather from such people should not be taken for mere truth but gives you a crew on what the property
property is all about. For the case of law-lying land or areas that look swampy, contact the National Environment Management Authority (NEMA) for report regarding the use of the property.
Carry out a search at the ministry of lands zonal office.
For this step, use the services of a lawyer to verify the authenticity of the title of ownership in the land office. All you will need a photocopy of the land title deed from the seller to carry on the search properly. The Lands office will offer a Search Report, which must show the names of the owner in question plus other details as indicated on the title.
Based on how busy the land office is, it takes one day to 3 days to get search results as feedback to a search application form attached with a title copy. This search assists the buyer to ascertain the right property ownership, its genuineness, establish its existence plus identifying the conditions, caveats, pending rates, or encumbrances on the title.
Negotiation with the seller
After ascertaining the proper ownership and provenance of the land in question, the buyer and his client can then meet the seller and negotiate on how much to pay for the land.
Hire a professional Surveyor to verify the size of the land.
Verifying the property size before any transactions are very paramount. Procure the services of a professional registered surveyor to carry out a topographic survey of the land and confirm to you the size and shape as indicated on the title. The surveyor will also identify the land boundaries and mark stones. And then issue to you a survey report in respect of the land.
Sale agreement
This sale agreement will be drafted by the buyer with all terms and conditions agreed on by both parties. This will stipulate all the demarcations, sums, payment schedules, and implications. Use of a lawyer is of paramount consideration and in this case we are readily available.
Payment of land rates
As a Buyer, you must know the payment of rates on land is a legitimate requirement of landowners and the seller should clear any pendent rates on the property before completing the transaction. And a seller should present a clearance certificate for the land before it is transferred to the buyer.
Transfer Documents and Consent to transfer
The lawyer of the seller organizes transfer documents to be executed by both parties. These documents will only be accomplished following an issued consent to transfer by the commissioner of lands.
Property Valuation
An application for valuation is always made to the government valuer, who makes a site visit to
enable him or her to prepare the requisite valuation report all for purposes of Stamp Duty. This duty is vital since it acts as a registration fee for the property. The duty is determined by a professional government valuer and the valuation is to determine the true open market value of the land as at the date of transfer.
The buyer has the responsibility of applying for the valuation of the land using the valuation form properly completed by the seller. The lands office uses such papers to fix the stamp duty payable
Payment of Stamp Duty
The buyer has the obligation to pay the stamp duty, a tax levied on land transactions for registration and transfer purposes. It is imperative to know that the registration of transfer at the lands office cannot be executed not until the stamp duty has been cleared with a receipt to prove so.
Final Payment and Exchange of documents
On receiving the completion documents from the seller, the buyer is obliged to pay to the seller the total balance on the purchase price to complete the registration of the documents following payment of the obligatory stampduty. Documents from the lawyers of the seller encompass the land’s original title deed, the signed and witnessed transfer documents into the buyer’s names, receipts indication paid-up land rents plus clearance certificate, and the consent to transfer.
Compiled by
RUHIIGA TWINSON
