Due diligence on land is a thorough process of verifying all legal, physical, and regulatory aspects before you buy. It helps you to avoid costly mistakes, disputes, or fraud. It combines document verification, physical checks, and legal compliance assessments. Here are the detailed steps on how to do due diligence on land:
Start by checking the title deed and ownership chain.
Ensure the seller is the actual legal owner and has the right to sell the land.
Trace the ownership history (sometimes up to 30 years) to confirm no bogus transfers or defects in title.
Obtain an Encumbrance Certificate from the local sub-registrar’s office for the property’s history (typically 13 to 30 years).
The EC shows if the property is free from mortgages, liens, or legal burdens.
This helps ensure you won’t inherit another party’s debts.
Check the land use classification with municipal or development authorities. Ensure the land is legally approved for your intended purpose (residential, agricultural, commercial). If necessary, verify conversion certificates or land-use permissions.
Visit the property to confirm actual boundaries, encroachments, access roads, and site conditions. Ideally, you should hire a licensed surveyor to match physical boundary lines with official records and maps.
Verify the site's current building plans and necessary permits.
Also, check property tax receipts, revenue records (like RTC, 7/12 extract, Patta), survey numbers, and mutation entries. Ensure to verify that taxes are up-to-date and the land is correctly recorded in government books.
Search for any ongoing disputes, court cases, or third-party claims tied to the land via local courts, revenue offices, or official online portals. Public notice in newspapers can also reveal unseen claims.
It is best to hire a senior property advocate for legal review of your land.
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How to Do Due Diligence on Land?
pragati
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2025-12-29T09:33:43+00:00 2025-12-30T11:24:43+00:00Comment
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