Legal Advice: The Importance of Due Diligence When Buying Property
This article could be one of the most important articles you will read if you are seriously thinking about buying a house or condominium in Hua Hin.
Like anywhere in the world, buying your own property should be and is, a very exciting and rewarding thing to do. Buying property in Hua Hin, Thailand, is no different.
Whether you are buying property to live in full time, or to live in part-time and rent out part-time, or, if you are buying to rent out to make a passive income, the rules are no different. You should use reputable and trusted legal advice. They will execute full due diligence for you. And, always combine that with employing a reputable, trusted and very experienced real estate agent.
The more well-known the legal advisor the better. Also, choose a real estate agent that is also well-known. Even better, if they have lived – and worked in real estate in Hua Hin – for a minimum of 10 years. For example, the owner of Property For Sale Hua Hin, Simon Pinnock, has lived and worked solely in real estate in Hua Hin, since June 2006. Experience is invaluable.
Property For Sale Hua Hin, only recommend trusted, respected, long-established legal companies. Our team have recommended only a few legal companies for over a decade. The reason for that is simple: the 3 legal companies we recommend are especially reliable, exceptionally knowledgeable and even more importantly, thoroughly experienced.
Our clients are of course more than welcome to source their own legal advisors. And, if our clients do their home work properly and do their due diligence thoroughly as we suggest, they will probably be employing Chavalit and Partners, Expat Pro and Khun Tom of Tom The Lawyer’s Office that we only recommend.
What Do Legal Advisors Do?
Firstly, your appointed legal advisor will execute full due diligence. In short, this means they will check that for example, the seller of the land, pool villa, house or condo that you are interested in buying, is actually theirs to sell. They will check whether that seller is legally allowed to sell the property; and if there are any debts, mortgages or encumbrances on the property.
Secondly, they will write new contracts or review existing contracts. They will also ‘hold your hand’ all the way from the initial payment of the reservation deposit that holds your property until the transfer of the property is executed at the local government Hua Hin Land Department. There, they will also make sure that everything is completed competently and more importantly, legally too. They will also make sure that all transfer fees and taxes are paid.
If you do not cut any corners, and use trusted legal advisors that have dedicated offices and combine that with trusted real estate agents that also have dedicated offices, you will be just fine.
Some real estate companies can literally disappear over night as they have no offices; they have no work permits and so are working illegally. They also have no bank Trust Accounts in which to securely hold any deposits or down payments.
Pool Villa – Orchid Palm Homes 7
In the end, trust, long-term experience, accountability and traceability are so important when it comes to safeguarding your hard-earned money. Don’t take chances and you will find that buying your dream property in Hua Hin will be fun, exciting and rewarding.
Author: Simon Pinnock