What You Need to Know About Certificate of Occupancy and Deed of Assignment
What’s a Deed of Assignment?
Picture this: Mr Jade has many properties across the country and decides to give one to his friend. To do this, he must obtain a deed of assignment with the relevant land registry, to establish legal proof that the property has changed hands and now belongs to his friend. His friend will now have full control over the property, including signing off on new leases and managing maintenance issues.
In other words, a deed of assignment is a document that transfers the ownership of a property from one party to another. It can be used when there is a change in ownership and the previous owner no longer has an interest in the property.
Important of Deed of Assignment
- It shows that all negotiations, investigations, and other necessary due diligence have been done.
- It verifies ownership and prevents a third party from claiming ownership.
What is a Certificate of Occupancy?
A certificate of occupancy (C of O) is a document issued by a local authority that confirms a person’s ownership of a property. You may have heard about the government seizing homes without compensation. In most cases, this is due to the absence of a C of O. The goal of obtaining a certificate of occupancy is to ensure that the house or building complies with all local health and safety regulations.
Importance of C of O
The following are the benefits of having a C of O.
- Having a C of O certifies you a bonafide owner of a land or property.
- The value of a property increases when it has a C of O.
- It saves you from government troubles such as property confiscation with no compensation.
- It prevents a situation where multiple owners claim a single property.
It is important to note that a Deed of Assignment and a Certificate of Occupancy are not the same thing. A Deed of Assignment only transfers ownership, while a Certificate of Occupancy only certifies that a building is suitable for occupancy. The two documents may be required in combination when buying or selling a property.
When buying a property, it is important to ensure that both the Deed of Assignment and the Certificate of Occupancy are in order. This can help you avoid legal issues and disputes in the future. If the Deed of Assignment is not properly executed or the Certificate of Occupancy is not up to date, it can cause problems when you try to sell the property later on.
In conclusion, a Deed of Assignment and a Certificate of Occupancy are two important legal documents in the realm of real estate. Understanding the purpand significance of these documents can help you navigate the complex process of buying or selling a property and ensure that the transaction is legally sound and secure.
At Numero Homes, we do our due diligence on all of our lands and properties before purchase. We don’t just buy property from anyone and anywhere. To prevent future problems, we also make sure our clients receive the required paperwork. Let us help you with the process of buying a property or piece of land. For inquiries, dial 07025000038.