Technical Legal and Tax Due Diligence Services

We deliver Technical and Legal Due Diligence Services to Financial Institutions, Banking professionals, Real Estate Funds, and individual Investors.

Our firm has delivered in excess of 150 REO projects on behalf of 2 of the largest Greek banks and Financial Institutions.

Introduction to Technical Legal and Tax Due Diligence Services

When investing in real estate, whether buying, selling, or developing property, a thorough understanding of its condition, legal status, and tax implications is essential. This is where comprehensive due diligence comes into play. iOwn offers complete technical, legal, and tax due diligence services to help you avoid unforeseen risks and ensure full compliance with local and international regulations. Our team of experienced professionals ensures that your property transaction is smooth, secure, and legally sound, protecting your investment every step of the way.

What Are Technical, Legal, and Tax Due Diligence Services?

Due diligence is a critical process in any real estate transaction. It involves a thorough investigation of the property to identify potential risks or liabilities before finalizing a purchase or sale. At iOwn, we provide three key types of due diligence services:

Technical Due Diligence: A detailed examination of the physical and structural aspects of the property, including inspections, environmental compliance, and building code adherence.
Legal Due Diligence: A review of the property’s legal status, including ownership verification, title checks, and regulatory compliance.
Tax Due Diligence: An assessment of the property’s tax status, including liabilities, potential deductions, and implications for both buyers and sellers.

Together, these services ensure that any real estate transaction is free from hidden risks, helping you make informed decisions with complete peace of mind.

The Importance of Technical Due Diligence

Technical due diligence focuses on the physical condition and structural integrity of a property. This comprehensive evaluation includes checking for potential issues such as building code violations, structural weaknesses, environmental hazards, and overall functionality of the property.

Some of the key elements of technical due diligence include:

Building Inspections: These inspections evaluate the condition of the property’s structure, plumbing, electrical systems, and HVAC systems to uncover any hidden issues that could require costly repairs.
Zoning and Environmental Compliance: Ensuring that the property adheres to local zoning laws and environmental regulations, including checking for hazards like soil contamination or flood risks.

Example: Recently, during a technical due diligence inspection, iOwn’s team identified significant structural weaknesses in a commercial property. The buyer was able to negotiate a lower price to account for repair costs, saving thousands.

Supporting Data: Studies show that 35% of real estate transactions encounter significant delays or cancellations due to issues uncovered during technical due diligence.

By conducting a comprehensive technical assessment, iOwn helps clients avoid costly surprises and ensures that the property is a sound investment.

Legal Due Diligence and Ensuring Regulatory Compliance

Legal due diligence is vital for ensuring that a property is free of legal disputes and that all paperwork is in order. Without proper legal verification, buyers risk acquiring properties with unresolved ownership issues, outstanding debts, or zoning violations that could lead to legal battles or financial losses.

Key aspects of legal due diligence include:

Title Verification: iOwn’s team verifies the property’s title to ensure the seller has the legal right to transfer ownership. This step prevents the buyer from unknowingly purchasing a property with disputed ownership or hidden encumbrances.
Zoning and Permit Checks: Confirming that the property complies with all local zoning laws and has the necessary permits for construction or renovation.

Common Legal Risks: Properties sold without proper permits or those with unresolved legal disputes can lead to lengthy legal battles, delayed projects, or even property seizures.

Supporting Data: According to industry reports, 25% of real estate transactions face legal complications due to insufficient legal due diligence.

At iOwn, we take a proactive approach to identifying legal risks, ensuring that our clients’ property purchases are secure and free of complications.

Tax Due Diligence: Understanding the Financial Impact

Real estate transactions often come with complex tax obligations. Tax due diligence ensures that buyers and sellers understand all relevant tax liabilities, preventing unexpected financial burdens after the transaction is completed.

Key components of tax due diligence include:

Property Taxes: Evaluating the current and projected property tax obligations, including any unpaid taxes or potential tax reassessments.
Transfer Taxes: Calculating the taxes that apply when transferring property ownership, which vary depending on the property’s value and location.
Tax Implications for Foreign Investors: Navigating the complex tax regulations for international buyers, particularly those investing in Greek real estate.

Example: In one case, iOwn’s tax due diligence uncovered a significant capital gains tax liability that a seller had not anticipated. By addressing the issue early, the seller was able to negotiate a more favorable deal and avoid future tax disputes.

For both buyers and sellers, iOwn’s tax due diligence services ensure full compliance with local tax laws and help minimize financial risks.

Frequently Asked Questions (FAQs)

What is real estate due diligence?

Real estate due diligence is the process of investigating a property’s technical, legal, and tax status to ensure there are no hidden risks before finalizing a transaction.

Why is technical due diligence important?

Technical due diligence helps identify any structural or environmental issues with a property that could lead to expensive repairs or legal issues in the future.

What does legal due diligence involve?

Legal due diligence involves verifying property ownership, checking for legal disputes, ensuring zoning compliance, and confirming that all permits are in place.

What are the tax implications of buying property in Greece?

Tax due diligence helps identify property tax obligations, transfer taxes, and capital gains taxes. This is especially important for foreign investors, who must navigate complex tax regulations.

Can due diligence prevent future legal disputes?

Yes, thorough legal due diligence ensures that there are no unresolved legal issues with the property, preventing future disputes over ownership or regulatory compliance.

Conclusion

In the complex world of real estate, due diligence is essential to ensure that your investment is secure, compliant, and free of hidden risks. At iOwn, our expert team provides comprehensive technical, legal, and tax due diligence services, offering peace of mind and protecting your interests throughout the property transaction process. Whether you’re buying, selling, or investing in real estate, iOwn’s due diligence services help you make informed decisions with confidence.