Buying your first home is one of the most significant financial decisions you'll ever make. In Nigeria's complex property market, being well-informed can save you millions and years of headaches. This comprehensive guide walks you through the entire process.
Step 1: Assess Your Financial Readiness
Before you start house hunting, honestly evaluate your finances:
- Save 30-40% deposit: Most mortgage providers require this upfront
- Factor in additional costs: Legal fees (1-2%), survey fees (₦200K-₦500K), stamp duty, registration
- Monthly income rule: Your mortgage payment shouldn't exceed 30% of monthly income
- Emergency fund: Maintain 6 months of expenses separate from your house fund
Step 2: Get Mortgage Pre-Approval
Approach multiple banks for pre-approval. This gives you:
- Realistic budget understanding
- Negotiating power with sellers
- Faster transaction closure
Top mortgage providers in 2026 include FMBN, Abbey Mortgage Bank, and mainstream commercial banks. Interest rates currently range from 7-12% annually.
Step 3: Define Your Must-Haves
Create a clear criteria list:
Location: Proximity to work, schools, hospitals
- Property type: Detached house, semi-detached, apartment, duplex
- Size: Bedrooms, bathrooms, parking
- Budget range: Stick to your pre-approval amount
- Amenities: Generator, solar, water treatment, security
Step 4: Engage a Licensed Estate Agent
Working with registered agents through the Nigerian Institution of Estate Surveyors and Valuers (NIESV) provides:
- Access to verified listings
- Expert negotiation
- Market insights
- Protection from fraud
Red flag: Avoid agents requesting large upfront fees before showing properties.
Step 5: Conduct Due Diligence
This is THE most critical step. Before paying any money:
- Verify ownership: Check title documents at Lagos State Land Registry or relevant state authority
- Search for encumbrances: Ensure no hidden liens, mortgages, or disputes
- Inspect physical survey: Hire a licensed surveyor to confirm property boundaries
- Check planning approval: Verify building plans match actual structure
- Community inquiry: Speak with neighbors about any issues