TANZIM AHMED

To secure a flat purchase in Bangladesh, a systematic due diligence process is essential. Before making any financial commitment, focus your investigation on three core areas: legal integrity, functional infrastructure, and contractual guarantees. This approach mitigates risk and ensures your investment is sound.

1. Verify Legal & Land Documents

A project’s legitimacy is determined by its paperwork, not its marketing. Insist on inspecting the original copies of all legal documents.

• Regulatory Approval: Confirm the project has a valid approval letter from RAJUK or the relevant city development authority.

• Land Title: Scrutinise the chain of ownership through CS, SA, RS, and BS khatians. Verify the mutation is complete and land taxes are paid up to date.

• Joint Ventures: If applicable, review the registered Power of Attorney between the landowner and the developer.

• Document Consistency: Ensure the dag and khatian numbers are identical across all land documents.

• Encumbrance Check: Verify the land is clear of any legal disputes, liens, or government acquisition notices.

Incomplete or “in-process” documentation is a major red flag. Proceed only when every legal requirement is met and verified.

2. Assess Utilities, Facilities & Build Quality

Evaluate the practical aspects of daily living and the building’s infrastructure.

• Utilities: Confirm a dedicated residential electricity meter, a legal and reliable water source, and a clear gas supply plan (pipeline or cylinder protocol).

• Parking: Your deed must specify a designated and exclusively assigned parking space.

• Core Amenities: Ensure the lift and generator are fully operational and have a clear maintenance schedule.

• Security: Inspect for functional CCTV, controlled access points, and professional guard services.

To validate a developer’s promises, visit one of their previously completed projects and speak directly with residents about their experiences with build quality and facility management.

3. Secure a Contractual Handover Timeline

Protect yourself from indefinite delays with a legally binding agreement.

• Firm Date: The contract must state a specific month and year for handover.

• Penalty Clause: A non-negotiable clause must be included that stipulates financial compensation for each month of delay.

• Exit Clause: The agreement needs to clearly define the refund policy in case of project abandonment or extreme delays.

This checklist is not a formality; it is your primary defence against financial loss and future complications. Thorough verification of legal documents, operational facilities, and contractual safeguards is the foundation of a secure real estate investment.