The importance of a title search

An essential part of the due diligence process is to ensure that a purchaser is buying a good, clear title. This means that purchasers must ensure a vendor is the legitimate owner of the property before they sign a contract. It also means that they need to be aware of any encumbrances; claims that are held over the property.

A title search is imperative. This will inform a purchaser:

The prudent investor will be well advised to measure the land to check that the dimensions on the certificate of title are accurate. If there is any doubt, a surveyor should be engaged to check the boundaries. The purchaser also needs to ensure that any existing mortgages held over the property can be discharged and any caveats are withdrawn.





Look at the example Certificate of Title, and identify:

  • The volume and folio number
  • The registered proprietor
  • Details of any encumbrances and how they affect the property.