Legal Considerations One Must Make When Purchasing a House

Purchasing a house can be one of the most significant decisions of a person’s life. How can it not be? This is the place that will be your abode for years to come. Such an important decision cannot be taken lightly, especially when considering the number of legal ramifications. Buying a house is difficult, but wait, we suggest you read on as we highlight some of the most important legal points to consider when going through the process. These points can help you with the process.

Check for a Title Deed Before Entering Any Discussion

A title deed is one of the most important forms of documentation you need to look out for. The title deed certifies that the house belongs to the person you’re purchasing from. Not only does this act as a form of identification, preventing you from being duped, but it also has other ramifications as well.

Properties that are disputed often have no clear owner. The seller may state that they claim on the land, but that means nothing without the title deed. Moreover, without its presence, an owner can’t put their house up for a mortgage. To sum up: the title deed is the first thing you check for, no two ways about it. That’s the only thing that makes your land clear.

Confirm Whether Your Land Falls Under an Agricultural Zone

Agricultural land has different restrictions on it from area to area. You honestly might want to check up with your local jurisdiction before committing to such a purchase. For starters, many jurisdictions don’t allow individuals with no agricultural background to procure such land. Secondly, even if you do buy it, there are many building restrictions to deal with.

For almost all non-agricultural purposes, planning permission needs to be acquired from your local authority. Only then can you proceed. As you can note, there’s lots of legal yellow tape everywhere. So, even if the low price is enticing, think about the long run. Agricultural land can be quite a hassle to put up with. Although it is possible to convert it into a non-agricultural property, that process can also be drawn out and fraught with legal issues.

Obtain the Occupancy Certificate

Occupancy Certificate concept

This advice goes out to individuals looking to purchase a house and those looking to build one anew. An occupancy certificate (OC) essentially certifies that the building you’re buying was made according to government regulations. It should be a place fit for a person or people to live in.

If you’re responsible for starting the building process yourself, this legal document must be applied with your local building authority, preferably within 30 days in the US. The OC is vital, as it is what you use to establish water, sanitation, and electricity in your home.

Your local mortgage broker can only help you to an extent, but no bank will give you any loans without an OC. The occupancy certificate is your bona fide way of establishing a good life in your home. Do not take it lightly because that’s not as easy as you think.

Check Out Tax Payments of the House Before Buying It

This is another crucial piece of advice you need to know. Tax payments must be completely cleared out on a piece of land and property before you acquire it. Otherwise, there’s trouble down the road. The IRS keeps a watchful eye, and you don’t want to end up paying for your seller. Even if the old tenant’s name is on tax bills, you are expected to pay as the owner.

Some cases of foreclosure notices have been noted being given out to the new tenants instead of the older ones. This can add a huge, unnecessary financial burden upon you. Not to mention the lawyer fees that’ll follow once you try to catch up with the previous owner.

It’s a huge mess and can be easily avoided with just a bit of early consideration. Hire a lawyer if need be. The temporary fees paid for today could save you from paying an exorbitant sum tomorrow.

There is a lot to consider when purchasing a house. It can be the amenities, the community, the essential places, etc. You also have to know whether it’s the right place for you. What should be accomplished is giving you at least a headway into the legal matters surrounding buying a house. Learn about the legal documents you need to take care of so that you can reach that goal of having your dream house.


Share on:

About the Author

Scroll to Top