Steps in Buying Land
1. Obtains a Letter of Offer from the vendor [the person wishing to sell the land]
2. Obtain a copy land register to ensure:
• That the vendor has absolute title to the land.
• That the amount of land, which is being offered, corresponds with the official records.
• That no claims exist on the property.
By Way of a Loan
3. Bring in the information to the loans officer at a bank to support an application for a loan.
4. If/when the loan is granted, the bank writes a letter to the purchaser’s lawyer indicating the terms and conditions which must be fulfilled before the loan is disbursed. The bank will write the check to the lawyer for the amount of the land.
5. Checks all registries to ensure that there are no outstanding claims against the property or the vendor.
6. Prepares the Deed of Sale.
7. Prepares the Hypothecary Obligation (if the property is to be used as security for the loan).
8. Ensures that there are no outstanding taxes, dues and unregistered liens which could nullify the sale.
9. Pays all required duties and charges on the sale of land to the Inland Revenue Department.
10. Coordinates the sale transaction – ensuring that the vendor, on receipt of the money, signs the Deed of Sale.
11. Submits the Hypothecary Obligation to the Bank for signature (if the property is to be used as security for the loan).
12. Registers the signed Deed of Sale and (if necessary), the Hypothecary Obligation (signed).
13. Delivers copies of the registered Deed of Sale to the purchaser and the Hypothecary Obligation to the Bank.