Property transactions can involve several layers of risk: the identity and authority of the parties, the quality of the title, the physical boundaries, existing interests and the documents needed to complete the deal. A careful review should happen before money changes hands or commitments are signed.
1. Confirm the parties and their authority
Establish who owns or controls the property and whether the person negotiating has authority to act. If a company, family, estate, attorney or representative is involved, the supporting authority should be examined rather than assumed.
2. Review the title documents
Ask for the available title instruments and trace how the present owner acquired the interest. Names, descriptions, survey information and transaction history should be checked for inconsistencies.
3. Conduct appropriate searches and inspection
The right searches depend on the property and the documents presented. A physical inspection also matters: confirm location, boundaries, occupation, access, current use and any visible competing claim.
4. Clarify the commercial terms in writing
The price is only one part of the transaction. The written agreement should address the property, payment, completion documents, possession, representations, defaults and the responsibilities of each party.
5. Plan for completion and follow-up
Execution, payment and handover should be coordinated. The legal team should also identify any post-completion steps that apply to the specific transaction and explain the expected documents, timing and costs.
The practical takeaway
Due diligence should match the facts. A document that looks complete may not answer every title or possession question, and a search result is only one part of the investigation. Obtain transaction-specific advice before committing.