Checking real estate documents before buying
In order to protect yourself from purchasing distressed real estate, it is imperative to conduct legal and technical due diligence of real estate, or as this procedure is often called, technical and legal due diligence, before purchasing such real estate.
Legal due diligence prior to the acquisition of real estate makes it possible to determine the seller’s good faith, whether third parties have rights to the property, identify fraudulent schemes, and protect against loss of property or expenditure on litigation in the future.
Depending on the client’s needs, a full legal and technical due diligence can be conducted or only a check of certain parameters.
What is checked during a legal audit
The object of real estate:
- the existence of prohibitions/encumbrances, mortgages, seizures of property;
- compliance of the object with the data contained in state registers;
- legality of the basis for the property right;
- the existence of litigation over the property;
- existence of rights of other persons to the property.
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The owner of the property
- whether the person selling the property is the legal owner of the property
- whether the information provided by the seller corresponds to the information in the state registers
- whether the legal grounds for the property right are clear
- whether there are any enforcement proceedings against the property owner that may affect the sale and purchase agreement
- whether there are no legal disputes involving the debtor
- whether the person is not in the register of debtors
Compliance of the real estate object with the acquisition goals
- whether it is possible to register a place of residence in the property
- whether it is possible to carry out the planned reconstruction, redevelopment
- whether the planned object can be built on the land plot
- whether the purpose of the real estate corresponds to the purpose of the buyer
Analysis of the contract and sales scheme
- Analysis of the sale and purchase agreement for compliance with the terms of the agreement with the interests of the buyer
- Analysis of the sale scheme, terms of prepayment, payment
- whether the planned object can be built on the land plot
- legal support of the contract
Buying real estate in a new building
For clients who plan to purchase real estate in a new building, we have a separate service for checking the developer and the sales scheme of the object.
Analysis of real estate in the primary market:
- checking the developer
- verification of companies participating in the sale scheme
- verification of documents for the land plot on which the object is being built
- verification of initial data (urban planning conditions and restrictions, technical specifications, design specifications)
- Analysis of the sales scheme and contract terms
- checking for litigation against the developer or construction object
If you need to make sure that you have chosen the right property before purchasing it and want to check the absence of risks when purchasing an object, order the service of legal due diligence and get the opportunity to find out about all the shortcomings of the property before purchasing it.
Why should you contact GlobalBud Ukraine?
Our specialists have been working with real estate in the Kyiv and Kyiv region for many years and provide support for purchase and sale agreements in order to protect their clients from unscrupulous sellers and from purchasing distressed property.
In addition to legal due diligence, it is also advisable to conduct a technical due diligence of the property before purchasing it. For more information on technical due diligence of real estate, please click here.