Due Diligence & Contracts Page 2

A Chanote is a high-form land title commonly sought for property transactions, but the document still needs current verification. Check the title number, land office, owner, area, survey plan, encumbrances, leases, mortgages, servitudes, court orders and whether the physical occupation matches the registered plot. A good title form does not prove that a building is permitted, access is secure or boundaries are correctly understood. Keep due diligence inde…

Check the seller’s identity, company registration, directors, signing authority, land ownership, project rights and any mortgages or encumbrances. For a resale, match the seller to the title and confirm marital, estate or power-of-attorney issues. For off-plan property, verify who owns the land, who is building, who receives payments and which company promises completion. Similar brand names are not proof that the contracting entity has the assets or autho…

Before paying, identify the legal seller, property, title, proposed ownership structure, deposit conditions and refund triggers. The reservation document should state whether the payment is refundable if title, quota, permits, finance, contract or independent due diligence is unsatisfactory. Confirm where the money is held and who may release it. A deadline created by a salesperson should not remove the buyer’s right to inspect documents. Keep due diligen…