You have to examine the property’s document and make sure that these documents are comply with the authority’s requirements. To help you deciding whether the investment property is right or not for you, here are the list of basic documents you have to verify before purchasing the property:
a) Title Deed
Title deed is one of the main document that you should verify in the first place. This document simply outline the ownership of the property. Title deed also states the chain of the property owners, the genesis of title and relevant information regarding to the land. You can derive other relevant information from this document.
It is very important that you have to check the title deeds document before purchase any property. Through this document, you can confirm the seller position over the property, whether he has the capacity to sell the property or not. When the title deed document doesn’t state the seller’s name, then you should confirm to the seller who owns of the property. It will avoid future dispute over the property.
b) Sanctioned Building Plan
This document simply states the approval from the local authorities. This “sanction” or actually the approval, will be given by the local authorities based on the building plan and necessary documents submitted by the builder.
Sanctioned Building Plan document is very crucial since it shows the legalized status of the construction building. It is also important to examine whether the building plan has been approved by the authority. You better check the authenticity of the building plan provided by the builder to the issuing authority.
c) Occupancy certificate
This certificate will be issued by the local authorities once the construction finished and the building is ready to be occupied. The certificate is called as “Occupancy Certificate (OC)” or “Completion Certificate”. The certificate implies that the construction building is in compliance with the initial plant and the norms. Therefore the building is ready to be occupied.
d) Tax Paid Receipts
You have to ask the tax paid receipts from the builder or previous owner of the property before buying the property. The receipts will show you whether the tax has been paid or not. When the previous owner didn’t pay the tax, you will be imposed by the penalty once you own the property. The total of the penalty will be 2% per month since the tax payment had not been made.