Legal Checklist for Buying a House
Buying a home is the biggest decision of the life that has long term consequences. So everyone wants to make the right move. If you are planning to buy a house or plot, then get ready for the paperwork involved in the purchase of the property to safeguard your investment and avoid the real estate scams. Here is the legal checklist for buying a house.
Verify the Title
The most important document required for the purchase of property is the old sales deed or registry. This document verifies the title of the property or the person who is the real owner. The letter also reveals the information about the type of property. So ask the owner to provide you a copy of the registry of the property so that you can verify the title at the local registrar office.
Power of Attorney
As a buyer you should request the seller to produce the letter describing the power of the attorney. The letter will reveal the single or multiple owners of the property who can sell it. Power of attorney letter is very important to safeguard your investment and avoid the real estate scams. In many cases fake owners have sold out the properties. But after sometime the real owner claims the ownership and buyer sustain huge losses.
As a buyer you should also know the approval of the map of the house or the property. In many countries laws are not strict so people build property without planning permission. But when government acquires the land for development of the infrastructure then only land price is paid as house map is not approved from the local authority. Also local authority can demolish the unapproved structure.
Payment of Taxes
As a buyer you should get the information of the taxes paid by the seller. This is important for two reasons. Firstly in most cases local authority will not allow the transfer of the property or house on the name of new owner unless all taxes are paid. Secondly if seller hasn’t paid the council taxes then buyer will have to pay. So for your own security just make sure that all due taxes are paid by the seller.
Registry of House
Once everything is clear, then ask your lawyer to prepare the sales deed registry documents. Your lawyer will get the registry on your name from the registrar office. The documents will show the transfer of the property on your name, the date of the transfer, the price of property and the taxes you have paid. Keep in mind that only sales deed or registry will establish your ownership of the property.