Insurance News Archive
Avoid legal expenses insurance claim with checks on repossessed property
Written by Jonathan Walker
Investors looking to buy repossessed foreign property should make sure that they perform all the necessary legal checks, according to an expert.
Christopher Chadd, head of research at Property Frontiers, warned purchasers to ensure that when they complete the transaction they own the real estate in its entirety, to avoid claims on their legal expenses insurance later.
He said that the property must have a clean land title and that surveys are an absolute essential, as repossessed real estate often has underlying structural and internal problems due to the previous owners not having the money to carry out repairs.
"Make sure you perform all the necessary legal checks, paying particular attention to the history of the property and whether there are any covenants which may make a sale in the future hard," Mr Chadd advised.
Recent figures from RealtyTrac showed that there were 1.9 million foreclosure filings in the US in the first half of the year, up nine per cent on the last six months of 2008.
31 Jul 2009
