CribCheckWhy it exists
Under the Land Use Act, land is vested in the state governor and held by occupiers under a right of occupancy. Alienating that right — by sale, mortgage or long lease — generally requires the governor's consent.
What it involves
- An application with the deed, survey plan and title documents.
- Assessment of fees, which commonly include consent fee, capital gains tax, stamp duty and registration.
- A waiting period that can be lengthy, so agree responsibility for it in the contract.
Buying without it
Many transactions proceed on an unconsented deed. It is common but not safe: your ownership is harder to defend, harder to mortgage and harder to sell. If you accept the risk, negotiate the price accordingly and get the seller's written undertaking to cooperate.
General information, not legal advice. Title and land matters vary by state and carry real financial risk — instruct a property lawyer before you pay anything.