Avoiding Fraud In Property Deals

Identify Emerging Trends

1. Verify the Seller's Identity

Make sure the person selling the property is the legal owner.

Request original title deeds and cross-check with public land records.

Ask for government-issued ID to verify the seller.

2. Inspect Property Documents Thoroughly

Title deed: Should be clear and in the seller's name.

Encumbrance certificate: Confirms the property is free from legal or monetary liabilities.

Tax receipts: Make sure property taxes are up to date.

Approved building plan: Check if the construction follows local authority rules.

3. Use a Reputable Real Estate Lawyer

A lawyer can:

Conduct a title search.

Review the sale agreement.

Ensure the property isn’t under any litigation.

4. Avoid Cash Deals

Always make payments through bank transfers or cheques.

Keep a paper trail of all transactions.

Cash payments can hide illegal or disputed sales.

5. Double Check Land/Property Records

Visit the local land registry office.

Verify the survey number, plot size, and boundaries.

Use government online portals if available for checking property ownership.

6. Beware of Too-Good-To-Be-True Offers

If a deal seems rushed or underpriced, it could be a scam.

Don’t let pressure or emotional sales tactics push you into hasty decisions.

7. Demand an Agreement to Sell

Draft an official Agreement to Sell before the actual Sale Deed.

It should mention:

Sale price

Payment terms

Possession date

Penalties for default

8. Register the Sale Deed

Finalize the deal only after registering the property with the local registrar.

Pay applicable stamp duty and registration fees.