Buyer Beware: The Hidden Dangers of Informal Property Purchases in Fiji

The Ministry of Housing in Fiji has issued a warning to citizens regarding the purchase of properties in informal settlements. This advisory follows an incident where an individual lost $10,000 after buying a home that lacked any formal ownership documentation.

The ministry expressed concern after the original landowner resurfaced, denying any knowledge of the sale and demanding that the buyer vacate the property. In a statement, the ministry urged potential buyers to be extremely cautious when looking at properties in these settlements.

While acknowledging that informal settlements might provide cheaper housing options, the ministry highlighted that these areas often lack essential infrastructure, legal protections, and are at risk of eviction and development issues. They emphasized that such settlements are usually built on land that is not legally owned or leased, making any property transaction highly uncertain.

Residents living in these areas may face eviction at any time without warning, risking significant financial losses and displacement. Furthermore, these settlements frequently lack access to basic services like electricity, water, and sanitation, adversely affecting residents’ quality of life and health.

The ministry underscored that many individuals have fallen victim to such transactions, paying large sums of money only to later find themselves denied ownership and facing eviction. To mitigate these risks, the ministry strongly advises prospective buyers to focus on properties in established, legally recognized neighborhoods which provide greater security, stability, and essential services.

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