Picture this: You’re enjoying the perks of your new home when authorities come knocking, telling you that you’ve been living in an illegally acquired land/illegally built development. There have been more than a few cases of families being displaced because of similar issues, losing huge chunk, if not all of their estate investment because of their lack of due diligence. No matter how trustworthy you think your broker is, it pays making sure that all the documents and papers you require are in place and duly inspected to be free from any legal issues before signing any dotted line. When you have your eyes on a villa in Coimbatore or any other real estate investment, ensure legal transparency by checking on these things:
- Clear title papers – Always check legal documents for any existing or potential issues before making a payment for a property. It is recommended that you consult a property lawyer who can help you dig up any potential problems you may face once you have the property in your possession.
- Approval from leading banks – One of the easiest ways to verify the legality of a property is to check whether or not it is approved by leading banks. A villa in Coimbatore will only be approved by a bank if it has all the legal clearances and valid documents required by law to ensure a clean legal record.
- In case of a resale, check for mortgages on the property – Make sure that the owner doesn’t have any outstanding mortgage on the property.
- Encumbrance certificate – This document contains details of previous registrations for the home. This can be obtained from the local sub registrar’s office and is advantageous to have because it provides a proof of free ownership while also testifying that the property is free from mortgages or any other legal dues such as property tax.