For every potential investor, realizing the need for due diligence is the initial step in securing any property. Turning this realization into practice, however, requires the performance of various complicated legal measures. Most potential buyers have resorted to using “checklists” or “due diligence lists” as guides in helping them remember these steps as they outline the procedures in ensuring a secure and rewarding acquisition.

This article aims to list down the different procedures that have long been considered as common practice in purchasing property in Thailand and provide a brief and concise explanation for each. It is hoped that with these guidelines in mind, any potential buyer would be guided in making the proper decisions in purchasing his property.

These important considerations are as follows: First, land descriptions contained in any title deed dealing with the property sought to be purchased must coincide with those found in the Land Department in order to prevent any complications regarding the existence of the land and its actual boundaries. Moreover, this would further guarantee that the seller is holding the said property under a true title of ownership. Second, every purchaser must review the Register of Records found on the dorsal side of the title document as this contains all the liens and encumbrances currently imposed upon the property. Having a clear knowledge of the burdens existing on the property helps any buyer in formulating the necessary decisions he or she must make.

Next, a comprehensive title investigation should be conducted in order to determine whether the seller is one who holds title to the property and may therefore properly dispose of it through sale. This involves tracing back the history of the title from its original possessor. Note that there are different kinds of land titles and deeds under the Thai legal system. After this, a review of any pending or potential legal action involving the property should be conducted. It is considered as a prudent measure to avoid purchasing property while the same is the subject of an undergoing litigation. It is also important to note any servitude in existence or right of way conferred upon any adjoining property owner as these constitute legal obligations that are recognized and transmitted to succeeding interest holders. Lastly, every potential property owner should properly identify and observe the various legal restrictions such zoning and building limitations operating in the place where the property is found as this place an unwarranted burden on how the property is to be enjoyed.