Clean Title?

September 6th, 2005 --

Is it really a clean title as they say it is? As a buyer of real estate, one precautionary step you can do to ensure if the title is clean or not is to go to the registry of deeds and ask for a photocopy of the title. You might be surprised with what’s stamped on the title’s back.

You might usually see a stamp stating that the property is mortgaged or undergoing a trial. Stay away from titles with marks like that. Or verify that the mortgaged is already closed or if the case has already been closed.

Getting a judgement on a closed case is easy. Just get the case no. and the branch no. of the court that is handling the case. If the case is closed the Court will have a copy of the decision filed away with them. Since this is a public document one can easily get a copy.

It is also a must to do an ocular inspection of the property. In the case of land, you must check the actual boundaries and whether there are tenants existing in the property. One can not easily evict a tenant from a property in the Philippines. Tenant relocation is a responsibility carried by the land owner. This goes the same with foreclosed properties with structures in it. Such as homes, condominiums, townhouses, buildings etc.

The usual course would be to ask them nicely to leave, but if worse comes to worst, one will have to hire a lawyer and take your complaint to court.

Taking these tips into mind could help your score big in getting a property cheap via the way of a repossessed property and a refinanced mortgage.