The iconic Western House is a 20-storey office complex in the Lagos Island Central Business District (CBD).
Read more “Western House, 8/10 Broad Street, Lagos wears a new Look”
Power surge is one of the major factors responsible for property damage in Nigeria today. Properties worth millions of naira are lost yearly to power surges in different parts of the country. Power surges occurs when there is a sudden increase in the amount of power in the electrical system. They are spikes in voltage and vary in duration and magnitude, from hundred to thousand volts.
Many buildings use electrical power which ranges from 220-240 volts, single phase, and alternating current. As a result of the unreliable and erratic supply of power, voltage is not delivered constantly at 220 volts. With alternating current, the voltage fluctuates from 0 to a peak voltage of over 280.
During a power surge, the voltage rises above the peak voltage. A spike in voltage can be damaging to appliances and electrical devices. An increase in voltage above an appliance’s operating voltage can lead to an arc of electrical current in the appliance. The heat produced in the arc affects the electronic circuit boards and other electrical components. Recurrent power surges can shorten the life of appliances and electronics and equally damage them.
The first step towards preventing power surge is to unplug devices that are not in use. It is advised not to leave household appliances plugged in especially when there is a storm because lighting strike is another major cause of power surges. Unplugging unused devices also helps to conserve energy.
If the wiring of the building is outdated, it could be a potential cause of power surge. Most electrical systems in houses built round the 80s’ were not designed for large-capacity appliances. Some signs of poor wiring are blown fuses, frequent tripping of circuit breakers, buzzing sound or burning smells from power outlets. These signs indicate that something is wrong, and it could lead to power surge. Damaged or exposed wires offer little resistance and can interrupt the flow of current. This, in turn, increases the likelihood of a surge, especially to the specific outlet they lead to.
If two or more large appliances are drawing power from the same power outlet, it could lead to an overloaded circuit thereby causing a potential power surge.
A furnished apartment is a space that has been fitted with furniture and equipped with certain amenities. The living room should have at least a couch, table and maybe a coffee table or bookshelf while the bedroom should have a bed, nightstand with lamp, and a dresser. Typically, the furnished apartment will cost more compared to residential spaces that are unfurnished. Furnished apartments vary depending on the landlord and whether other amenities such as kitchen appliances and bathroom accessories are also included.
Pros of Renting Furnished Apartments
Cons of Renting Furnished Apartments
Building collapse has become a common occurrence in different parts of the country leading to loss of lives and properties worth millions. According to a Lagos state inquiry, there were at least 135 cases of collapsed buildings between 2007 and 2013. It has also been observed that most of the buildings that collapse are multi-storey structures. Building don’t just collapse, there are always warning signs; however most property owners and tenants tend to ignore these signs.
Large Cracks on the Wall – Thermal movement is one of the major causes of cracks that are seen on the walls of buildings. If overlooked, it could eventually lead to the collapse of the building. Cracks on the wall of a building is a natural sign that shows the structure cannot sustain the movement or load it is subjected to. When cracks appear in the walls of a building, it is either a structural crack or a non-structural crack.
Creaking Sounds – Creaking sounds occur when the metal parts of the building contracts more than the wooden parts, as a result both parts rubs against each other. Creaking sound is an indicator that parts of the building are failing and when it becomes loud and repetitive, that is a sign to evacuate the building.
Collapsing Ceilings/Mould and Water stains on the Wall – Moulds and water stains are caused by moisture penetration, when water reaches a part of the house that should not be wet. A damp occurs when excess of moisture is trapped within the structure of a house. Moisture has a natural tendency to spread out from wet areas of a house to the dry parts.
Weak Supporting Structures – Weak supporting structures can result from several factors such as substandard building materials, tears and fissures in foundation structures. A building is likely to collapse when a primary structural element fails, leading to the failure of other structural elements, which finally culminates in the collapse of the building. Also deformed siding can lead to building collapse because it is the siding that protects your building from the moisture and other elements.
Moving House – This one of the most hazardous warnings of an impending building collapse. Over a period of time, certain parts of the house start shifting from their original position due to foundation problems. When the foundation of the building shifts, it creates a ripple effects of events throughout the house, which causes the house to move.
Purchasing an air conditioner may not be what you can tick off your To-Do list right now, but if you find your house uncomfortable as a result of the heat, there are creative ways to make it even more conducive without air conditioning.
Buy a Box Fan – Box fans are often placed in or near the windows, it helps to draw in cool air from outside or pull warm air out of a room depending on how they are placed. If the blades face the window screen, the fan helps pull hot air out of the room, flipped the other way, it draws in air from outdoors. It saves energy and is also an affordable alternative to air conditioning. For your kitchen and/or bathroom, fix an exhaust fan that will pull the hot air that rises after you cook or in your bathroom to draw out steam after showering.
Close your Curtains and Blinds – Heat finds its way into the house through windows, to lower the indoor temperature, close your curtains and blinds. It is advised to use dark curtains and blinds, and this will help to reduce the flow of sunlight into the house. When the sun is down, you can open up all curtains and blinds to allow fresh air in.
Stay Hydrated and Take a Cold Shower – To keep your house cool, you have to feel relaxed within. Drinking water regularly is the first step, and it makes your body hydrated and replenishes body moisture lost to heat. Taking a cold shower or bath also helps to cool the body by lowering its temperature.
Disconnect Unnecessary Heat Sources – One of the major causes of heat are unplugged heat sources which include your chargers plug, TV and other electrical appliances that draw in additional heat through the socket. To lower the temperature in your house, always unplug chargers and other appliances that are not in use. Also, consider using more energy-efficient and LED bulbs, it saves energy, money and heat felt in the house.
Declutter your House – Sometimes the heat you complain about can be caused by all the unnecessary load in the house. When your home is congested, there is little or no room for air to move freely. Clearing out the house will enable proper ventilation and allow air to circulate freely. Also, if there is a room no one is using, close it off to keep the cool air in only occupied areas of the house.
A mortgage institution is a bank that specializes in mortgage loans, it offers loans to people for the purchase of real estate properties. Most times individuals may not be able to buy houses with their monthly salaries. Also, it may take a long time to save up to buy or build a house. Mortgage banks help by giving real estate investment capital as loans, then collects the payments back installmentally.
Federal Mortgage Bank of Nigeria (FMBN) is the oldest mortgage institution in Nigeria, it was established in 1956, known then as the Nigerian Building Society (NBS), a joint venture of the Commonwealth Development Corporation and the Federal and Eastern Governments of Nigeria. The Bank operates as an effective vehicle for increasing the mobilization of long-term funds, lending volume and expansion of mortgage lending services to all segments of the Nigerian population.
FBN Mortgages Limited is a leading Primary Mortgage Bank (PMB) with focus on delivering the best mortgage banking services and products that typify the dominance of its parent– First Bank in the financial services industry. As a dedicated provider of a wide range of mortgage and real estate financing solution, FBN Mortgages is in a unique position to help customers make those critical steps towards seamless homeownership and real estate development.
Abbey Mortgage Bank Plc is the premier, largest and most profitable, non-aligned Primary Mortgage Bank in Nigeria. It is one of the seven national Primary Mortgage Banks (PMB) licensed by the Central Bank of Nigeria and Federal Mortgage Bank of Nigeria (FMBN). It is also an accredited primary mortgage bank (PMB) for the National Housing Funding (NHF) on-lending facilities. The bank offers different mortgage and investment products, and advisory services to corporate organizations and individuals to empower them to access housing finance. It also facilitates the provision of mortgage and real estate related services to respond to their needs.
Platinum Mortgage Bank Limited was incorporated in 1992 with the Corporate Affairs Commission to provide savings, loans and homes ownership services. It was licensed by the Central Bank of Nigeria and the Federal Mortgage Bank of Nigeria under the CBN Decree 24 of 1991 and FMBN Decree No. 53 of 1989 respectively to provide Mortgage Banking Services in Nigeria. Hitherto known as Platinum Home Investment and Mortgage Limited, PMB Limited was recapitalized into a formidable Primary Mortgage Institution backed by innovative products, services, and requisite professional management.
Collapsed building is a common phenomenon in different parts of the country and many people have embraced it as part of the environmental hazards we have to live with. In fact, Lagos ranks as the state with highest number of collapsed buildings in Nigeria. Unfortunately, over 90% of these collapsed buildings were neither insured nor were the properties covered by any form of insurance policy.
Property insurance provides financial reimbursement to the owner of a structure and its contents in case there is damage or theft and also to a person other than the owner if that person is injured on the property. Property insurance may include these policies, such as homeowners insurance, renters insurance, flood insurance, amongst others.
The insurance company offers you a contract known as an insurance policy. The insurance policy is a document that contains all the terms and conditions agreed upon in the insurance contract. While insurance premium is a monthly payment is made by an individual or business to service this contract.
Types of Property Insurance Coverage
Replacement Cost covers the cost of repairing or replacing property at the same or equal value. The coverage is based on replacement cost values rather than the cash value of items.
Actual Cash Value Coverage pays the owner the replacement cost minus depreciation. If the destroyed item is 10 years old, you get the value of a 10-year-old item, not a new one.
Extended Replacement Costs will pay more than the coverage limit if the costs for construction have gone up; however, this often won’t exceed 25% of the limit.
Benefits of Property Insurance
Sense of Security – Having a property insurance protection against the uncertain risks of loss such as fire, natural disaster, theft, gives you a peace of mind and confidence as the owner of the assets. And if these risks occur and you suffer loss, the insurance company will surely give the appropriate compensation.
Compensation for Damage or Loss of Property – Property insurance offers compensation for any damage or loss of your property. The term for compensation is that the loss is not caused by your own negligence.
When choosing an insurance policy, there are different factors to bear in mind, such as the amount of insurance coverage that you are getting from a particular policy on your property. Secondly, the amount of yearly premium that the insurance requires you to pay. Also the time taken and the ease with which you can claim the homeowner insurance and settle the procedure. Lastly and most importantly, you have to go through the list of events that the insurance will cover.
The real estate market in Nigeria is dynamic, as a result the value of properties are constantly changing. Knowing what your property is worth especially when you are trying to buy or sell. The market value of your property is what buyers are willing to pay for it. There is nothing worse than selling way below value and losing money. Below are some factors to consider in determining the value of your property –
Location – Location is key in the demand for homes and it can considerably affect the value of properties in these areas and how much they are purchased.
Physical Characteristics: The size, shape and topography of the property are factors equally important in estimating market value of properties. This have great effect on the use to which it can be put and also impact the eventual cost of development. The more appealing these factors, the higher the value of properties.
Availability of Infrastructure – Properties in locations with essential amenities such as reliable power supply, drainage systems, good roads and more are bound to attract the attention of buyers which will invariably increase the price of the houses compared to underdeveloped areas.
Market Knowledge – Surveying the market will further help to determine the worth of your property. Current listings of similar properties can give you an idea of the real estate price estimate in your area. Also check out recently sold houses in your area, especially if the properties were purchased at impressive prices over the past six months.
Nature of Title – The type of title to properties can determine their worth. Properties with registered titles are likeky to command higher values that those with unregistered titles or just survey plans. The reasons for this are that parties would have to factor in cost of perfecting the title aside from the fact that athose with registered titles are better secured and bankable.
Nature of Interest: Interest in properties can be leasehold, freehold, licence, easement and many more. All these interests have varying degrees of relevance. The nature of interest therefore determines the tenure and certainly the value.
Condition of Property: The stste of repairs of properties have significant impact on value. The lower the cost of repairs, the higher the value and vice versa.
Use of Property: The use of property can be Residential, Commercial, Industrial or Recreational. All these uses have a way of impacting on the value.
Changing your apartment can be an exciting adventure but it can also strenuous and time-consuming especially when you are not aware of the factors for determining a good rental property. There are a number of factors to be considered when choosing a rental property, below are some tips to help you make the right choice –
Budget – What is your estimated budget for the property, flat, or office space you want to rent, answering this question will give you a clear vision of what to focus your search on. When searching for a space to rent either for residential or commercial purposes, it is important to calculate the added cost of utilities to ensure that the property of your choice suits your budget. Understanding how much rent and added expenses you can afford will help you to stay within your budget and avoid unwarranted scenarios of a payment default.
Location – Location is another crucial factor to be considered when choosing a rental property, because of the potential value of properties is largely affected by location. In Lagos, the Island v Mainland perception automatically affects the price of a property because of where it is located. The location of a property is very crucial in terms of security, nobody is interested in renting a house or office space in an area where they would be facing threats of armed robbers or miscreants.
Structure – There are different types of building structures on display for rent or purchase but knowing the right type of structure you want will help save a lot of stress and money. If you want to rent a bachelor’s pad, then you should focus on buildings that are designed to match what you want. Also, consider other structures in the environment where you want to rent, if there is a church or mosque around, then you have to be prepared for possible noise pollution.
Social Amenities – Social amenities is a key factor to consider when renting a property, aside from the location and structure of the building, you need to find out if there are accessible road networks to where you want to reside. There should be good roads connecting the rental property to other parts of the city. The rule of thumb is to be ‘be patient and thorough’. The safest bet is to contact a real estate agent to facilitate the process for you, Wemabod Limited offers you a wide array of properties for rent and sale that are affordable and environmentally friendly.
The impact of the COVID19 pandemic can be felt in different sectors of the economy, including the real estate industry. The Fitch Ratings revealed that the pandemic will push the Nigerian economy into recession with GDP contracting by 1%. Coupled with the diminishing oil revenue, non-oil GDP will also fall due to economic disruptions in major cities currently under lockdown.
With major cities on compulsory lockdown, hotels, restaurants, malls, office buildings, luxury spaces are currently vacant. There are a number of considerations regarding Post-COVID: Will employers be convinced to continue the work-from-home system? Will the demand for office space decrease when the coronavirus outbreak is over?
Most people are faced with two major concerns over the COVID-19 pandemic- contracting the virus and the decline in income level. The lockdown has no doubt led to the loss of jobs for many individuals while others are dealing severe salary cuts. People that depend on daily income to meet their obligations are stranded.
Concerning rental housing, experts predict that property owners could face cash crunch as there will be high default on rent. Housing advocates say the ripple effects of the coronavirus outbreak could upend housing in major cities like Abuja, Lagos, Port Harcourt and Kano reducing apartment rents by 50 per cent.
For the Nigerian real estate market, relief support from the government will play a huge role in ensuring steady rents and lowering evictions in the housing industry. While some landlords may lose a significant portion of income to retain some tenants, others may have to engage in rent discounting and rent concessions.
Despite the downturn in the real estate sector due to the COVID-19 crisis, PropTech presents a silver lining that can be maximized by stakeholders to stay active in business. Property Technology or “PropTech” involves the use of technology to create and deliver innovative real estate products and services. Though the technological innovation can still be said to be novel, it is steadily experiencing widespread reception, with more people adopting tech solutions in property transactions.
Based on the products and services offered, it can be structured into different categories which include Property Listings, Investment and Financing the construction of properties, Property and Community Management with integrated tools to help communities and homes manage their properties and Flexible Living options such as Airbnb.
Presently, there are no regulations specifically covering PropTech sector in Nigeria. However, the laws and regulations relating to real estate in Nigeria are still relevant to it.