When I was a lad this was known as "Conveyancing", can some of the experts out there please kindly clarify this cliche for all those interested parties. It seems to be a cliche that is thrown around with great ambiguity but when we are told to do our "due diligence"..what exactly do you mean? I thought is was the lawyers that did it, not the punters?

Good info LisaNic, Golfingworld you can also look up organisations like Opida and Fopdac
who can provide details

Do you have their web links please? Also to help unitiated buyers in relation to Brazil a message statement of the 10 key questions to ask, would be useful, as would, the 10 key documents to be checked and processed. Likewise, full banking procedures, transfer of funds in/out and registration of the title with whom and where. Good instructions on a site like this from experts would be invaluable to prospective buyers and enhance the site as an important reference source. This would be much more helpful than "do your due diligence" which is what I have seen quoted many times. To explain my point let's imagine that a prospective buyer is told "we have done the due diligence and everything is ok"..how do I know it is ok and how can I do my own research that what I am told is correct? A step by step guide would be invaluable such as..the 10 point statement of steps etc etc. This way it enhances confidence and makes a nervous buyer more comfortable, this can only be good for business and enhance the professionalism of the seller.
In other words, be specific as "general research covering both legal and personal requirements" means nothing to a guy that likes fun and sun but has heard that Brazil might be a "dodgy" place to invest.

Lawyers will only carry out a Due Diligence Report for you once you have retained them to do so (at obvious legal costs). The process can take anywhere from a day up to 8 weeks depending on the country and development in question.

That's why some people prefer to work with agencies who have already had their legal representatives do Due Diligence on the product to make sure that it can be sold. Otherwise you'll end up finding a place you like, putting a deposit down which you hope he won't run off with and then hoping that your lawyer will come back and tell you it's ok to buy. You'd be surprised at how many developments fail the reports and never make it past the agents to the general public for a variety of reasons.

Due Diliegence Reports which agents normally say they have carried out on a project refers to issues which can impact the legality of the sale, and includes land ownership, land restrictions, building licenses etc. What exactly each report entails will depend on the country, the development and the developer.

__________________
Yes, I work for a Real Estate company doing market research and analysis but I'm not involved in sales.

Have a nice day

Yes fine Mr Broad, but can somebody please be exact and say this document or that licenced by whom and where etc etc....for example a developer says it is done and ok..being the ultimate "I don't believe you" what has been checked, when, where, how and why? Step by step, detail by detail would help everyone. Again, I am trying to remove any ambiguity if possible, the less ambiguity the less risk the more confidence!

You just bought a place, so you should have this information at your finger tips if your lawyer did the due diligence for you.

So why not put it up here yourself? Or don't you have it?

Due Dilligence is bantered around these days. I think there can be many levels of Due Dilligence but the main things to consider when investing should be:

1. Reputation of the developer.
2. Land Ownership Certificate
3. Building License
4. Planning Permission

You can normally get this information without spending any money and if a developer won't send this then I normally question is this going to be a safe place to invest.

After this then a good lawyer specialising in the country where the development is can get a full due dilligence report.

No I don't have it BT, I want other forum members to get the answer I wanted when I started. My "due diligence" was easy, first step was not to beleive anything I was told by anybody, second was to use my eyes and ears, third was to go there as much as possible, fourth was to see some bricks in a pile, fifth was to stand on the roof and look down and finally I employed an expert to verify what I had seen. But for those that aren't prepared or not able to do this at present or are just starting out then they might find it advantageous to read specifics rather than cliches. Does that help?

There is no "ultimate check-list" as far as I know. Everything changes depending on the project and the country you are looking at. It really is something you really have to get legal representation to do for you I'm afraid.

We do the same thing. When we are considering a project, it goes to the lawyers first and only when they come back to us with a "green light" (which as said can take up to 8 weeks) then we start to market it.

However having said that, if the developer can't prove ownership of the land and the latest building license (of the five that are required in Brasil) then we don't even waste time with it.

__________________
Yes, I work for a Real Estate company doing market research and analysis but I'm not involved in sales.

Have a nice day

I'd imagine that the only person who can answer you without "cliches" is a lawyer specialised in investment property in Brasil and seeing as most lawyers who may read investment forums make their living by doing these checks, I doubt any will be jumping at the opportunity of giving away their daily bread

__________________
Yes, I work for a Real Estate company doing market research and analysis but I'm not involved in sales.

Have a nice day