The Importance of Due Diligence in Real Estate

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Published on September 30, 2023
The Importance of Due Diligence in Real Estate

Never underestimate the power of thorough document verification. Learn why due diligence is your best defense against property fraud and legal issues.

Due diligence is the process of investigation and verification that a potential buyer undertakes before finalizing a real estate transaction. In Bangladesh, this is particularly important due to the complexities of land ownership and documentation.

Key aspects to verify include:

  • **Title Deed (Dolil):** Ensure the seller has legal ownership of the property.
  • **Mutation (Namjari):** Check that the property is registered in the seller's name in the government's land records.
  • **Via Deeds:** Trace the history of ownership to ensure there are no breaks in the chain.
  • **Land Tax Records:** Confirm that all land development taxes have been paid up to date.
  • **City Survey / R.S. Khatian:** Verify the plot details against official government survey maps.
  • Skipping these steps can lead to severe consequences, including financial loss and lengthy legal battles. Always allocate time and resources for comprehensive due diligence.