Buying property in Thailand is a big deal, and you need to perform a thorough search for legal issues before you purchase. The process is called due diligence, and it can help protect you from scams and other problems. You should also be careful to hire a reputable law firm to perform your due diligence. This will ensure that you are buying a real, legitimate property that will not end up in a lawsuit. You can even hire an attorney to prepare a detailed report that will help you avoid potential problems in the future.
Title Search
The most basic property due diligence involves checking to see if the seller has a title deed and the legal right to sell the property. You should also inquire about any outstanding taxes, debts or encumbrances on the property. You should also check whether or not the current owner has any arrears on management fees. You should also look at the building’s registration number and make sure it’s in good standing.
Another important component of property due diligence is a land title search. You should check to see if the description of the land in the title deed matches what is recorded at the Land Office. This will provide a history of the property and prevent you from dealing with a fake owner.
Inspection of Building Permits
A building permit is also a key part of due diligence. You should check to see if the construction permit was issued by a reputable company. If the permit is issued by an unregistered company, you may be dealing with a fraudulent buyer. You should also check to see if there are any restrictions on the development of the condo. If there are any, you should try to negotiate a discount from the developer.
Other key areas of due diligence include checking the title deed and zoning and building regulations. A good chartered surveyor should be able to perform a comprehensive land survey. You should also check for any usufructs or other rights against the land. You should also investigate any environmental disturbances. You should also check the main utilities and road access. If the property is surrounded by a gas pipeline, you should double check the area for rights against the land.
One of the most important components of property due diligence in Thailand is the document review. You should check the house’s registration number, check for any legal encumbrances, and check for any outstanding taxes or debts on the property. You should also check the infrastructure, such as the telephone system, sewage system, and any drainage problems. If the property is used for business, you should expect to pay more tax than you would for a residential property. You should also inquire about any mortgages on the property.
Seller or Developer Credential Research
You should ask your lawyer to check the house’s construction permit. This is because an invalid permit indicates that the person who owns the house is a fake. You should also get a good idea of what type of developer the property is. You should find out if they have a solid reputation, and if they have enough financial resources to finish the project.
To find out if other buyers have previously sued the seller for default, find out if the seller has ever been engaged in any court disputes, either in the past or present. Each and every consumer should take precautions to guard against this extremely dangerous circumstance. It is crucial to be aware of the seller’s standing in the real estate sector.
The seller could not have a title to transfer to you since they may have been declared bankrupt and their assets were expected to be liquidated. The seller’s ability to retain ownership of the property and transfer it to the buyer is of highest importance.