Buying Off Plan Property In Ghana - The Need To Do Due Diligent

Asare Bediako & Co


Asare Bediako and Co is a law firm in Ghana which places premium on best customer experience to drive client satisfaction. The firm was incorporated to offer and deliver wide range legal services in response to the ever changing and positive economic developments in Ghana, Africa and worldwide. We provide highly professional quality work which are fashioned and tailored to give our clients the quality and satisfaction they require.
Off plan properties are normally properties that are offered and sold before the property is completed.
Ghana Real Estate and Construction
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Off plan properties are normally properties that are offered and sold before the property is completed. This means that the buyer agrees to buy the property bases on the plan, designs and other specifications represented by the developer.

Potential buyers buy off plan properties due to varied reasons. Most of the time off plan properties are cheaper than fully completed properties. In that regard, it is very prudent to invest in off plan properties.

Notwithstanding the above, investing in off plan properties have its own unique challenges. There have been several circumstances where payments towards the property has been made but the developer is unable to complete the project on time or at all. There are other instances where payments have been made to fraudulent developers or individual resulting in loss of investments.

In the circumstances it has become important that proper legal due diligent is required at all times to avoid losing your investment.


The foremost checks that a potential purchaser should undertake is the credibility of the developer. Credible developer is highly likely will deliver the property to you as per the terms agreed by the parties.

You must check the following from the developer:

  1. The incorporation documents – if it is a company
  2. Identity Card of the directors
  3. Inspect their previous projects
  4. Get feedback from previous clients
  5. Their sources of finance for the project


Duration of the lease is very vital to enable the purchaser decides whether the investment is value for money. Our Laws do not allow freehold or outright sale of properties, therefore all properties have a duration in respect of the lease covering the land. Let the developer confirm the duration of the lease in respect of the property.


You have to ensure that the developer has all the relevant document and permits covering the land. You will have to ascertain the developer's interest in the land they are undertaking the project. You can do that by requesting and assessing the documents covering the land.

If the documents covering the land is not in the developers name, you have enquire whether they have consent from the owners to deal with the land.


Also ensure that the developer has the building permits from the relevant assembly within which they are undertaking the development. The building permit will provide the needed assurance that the developer is building at an approved location.


Searches at the lands commission will provide you with the needed information to confirm the ownership of the land. It is very vital that you conduct search at the lands commission to confirm the developers interest and any other potential encumbrances on the property.


Searches at the collateral registry will reveal whether the developer has used the property as a collateral for any loan. If the buyer fails to do so and it happens that there is a charge over the property, you will buy the property with the charge covering it.


A lot of the challenges buyers encounter in the acquisition of off plan property is the quality of the property. This is due to the fact that some of the developer tend to cut corners and thereby delivering low standard property. You can avoid this buy hiring a qualified professional to supervise the project till completion. This will ensure that the developer sticks to the specifications agreed by the parties.


The above is non exhaustive list checks buyers will have to undertake whey investing in an off-plan property. It is therefore important that you contact a qualified professional to guide you through the entire process.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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