Checking property rights and mortgages before signing the contract; all payments must be transferred with a purpose note

6. Checking property rights and mortgages before signing the contract; all payments must be transferred with a purpose note

Cost: No cost involved. The check takes about half an hour.

In plain terms: The two most common ways people end up losing all their money are: first, paying rent to someone who isn’t the property owner; second, discovering that the house was already mortgaged to a bank and later seized. Before signing, verify both the property rights and any existing mortgages at the local land registry office. All payments must be made via bank transfer, with a note stating “Monthly rent for [property address]”. This note serves as direct proof in case of any disputes.

Benefit: These two scenarios represent the typical ways people lose all their money: paying rent to a non-owner, or dealing with a property that’s already mortgaged and seized. Keeping a transfer note that reads “Monthly rent for [property address]” provides solid evidence if a dispute arises later.

Evidence grade: C

Sources: Author’s experience, no direct documentation; For evidence retention and transfer notes, see the two articles about bride price and IOU in Section 8 for the same reason.

Notes: Property rights information can be obtained from the local land registry office. At the time of signing, the actual owner must be present; if not, a written authorization is required. If you’re renting from a sub-landlord, written consent from the original owner is mandatory.