Document background
A Letter of Intent to Sell House is commonly used in Nigerian real estate transactions as a preliminary step before entering into a formal sale agreement. This document is particularly important in the Nigerian context, where property transactions must comply with both federal and state-level regulations, including the Land Use Act of 1978. It serves to document the serious intention of both parties to proceed with the transaction while allowing for necessary due diligence and negotiation of final terms. The letter typically precedes the more detailed Sale and Purchase Agreement and helps establish clear communication between parties regarding price, timeline, and key conditions. While generally non-binding except for specific provisions like confidentiality or exclusivity, it provides a structured framework for moving forward with the transaction and is often required by financial institutions or legal advisors as part of the property acquisition process.
