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City lawyer, Deo Kalikumutima has said Uganda’s real estate sector continues to be plagued by three main challenges; which include ignorance, fraud, and people being taken advantage of.

He explained that Ugandans generally have a poor investment culture and are largely ignorant of the laws and regulations that govern the real estate industry, adding that this problem is worse in the real estate sector which has many fake land dealers, brokers, and real estate managers.

He was speaking during a panel discussion at the just-concluded inaugural physical Homes and Construction Expo 2023, that took place at the Kololo Ceremonial Grounds on November 25 and 26, under the theme Innovations, Standards, and Opportunities.  

"It is shocking to see Ugandans - especially those who live in the diaspora - returning home annually to invest huge sums of their hard-earned cash without involving professionals," he said.

He added that they ignore the laws and regulations that govern the sector, to their detriment. When they lose their fortunes, or real estate properties at a later stage, they seek legal advice, albeit too late, after losing millions to fraudsters.

"It is shocking to see the level of gullibility among Ugandans,” he added. That said, Kalikumutima advised the public, but mostly those in the diaspora, to be vigilant when investing back home," he revealed. 

He made the remarks during a day-two seminar about real estate finance and investment in which he elaborated that, on a rough estimate, Ugandans in the diaspora remit about $1b in investments in Uganda annually.

To protect their interests, lawyers like Kalikumutima offer legal advice in tandem with the Ugandan Constitution that says every Ugandan has a right to own property. 

“Real estate lawyers are crucial in carrying out financial transactions during a sale of a real estate property and must always be present when tenancy or occupancy agreements are being signed. It is a lawyer’s responsibility to ensure an ownership transfer is legal and in the best interest of the client through reviewing the documents relating to sales and purchase agreement, title documents, mortgage documents, and transfer documents,” he said. 

He further advises regulators like district land boards, National Building Review Board members, and local leaders not to sleep on their jobs to reduce land disputes that are rampant in the country.

“Whether you are a landlord or a tenant, having a real estate lawyer involved in lease agreements can be highly beneficial because they can draft, review, and negotiate lease contracts to ensure that your rights and obligations are clearly defined and protected. In the case of commercial leases, real estate lawyers assist with issues such as abrupt rent increments, subleasing, maintenance responsibilities, and compliance with local licensing regulations,” he said. 

According to him, land title issues and boundary disputes can be complex and argumentative, especially concerning property ownership, like competing claims, unclear boundaries, or encroachments.

This calls for a real estate lawyer, who should work with land and quantity surveyors, and architects, to lawfully guide and prevent bloodshed due to land disputes. 

“These professionals can conduct a thorough title search, review historical records, and assess any potential risks or defects in the property's ownership. In the case of disputes, a real estate lawyer can represent your interests, negotiate settlements, or litigate on your behalf if necessary. Additionally, they can review construction contracts, negotiate terms with contractors and suppliers, and help resolve disputes that may arise during the construction process,” he said.