Due Diligence for Investors in Chile
Before you wire a deposit on a Chilean property or business, check what the registry, the municipality and the courts say about it.
Checking before you commit
Foreign investors usually meet Chile through a broker or a seller who speaks good English and moves fast. The legal reality is slower and sits in public records: the Real Estate Registry (Conservador de Bienes Raíces, CBR), the municipality, the tax authority and the courts. Due diligence is the process of reading those records before you commit funds.
Our approach is deliberately different from large-deal M&A reviews. This page is about the buyer of a specific property, or a small to mid-sized Chilean company, who wants a clear yes, no or fix-first answer from a Chilean lawyer before signing.
What a property review covers
A title study (estudio de títulos) follows the chain of ownership back through previous transfers, usually for a decade or more, to confirm the seller truly owns what they are selling. It checks for mortgages, liens, court-ordered prohibitions, inheritance gaps and boundary mismatches. A current registry certificate shows whether the property is encumbered today.
We also look at the municipality: building permits and final reception of construction, zoning, and the status of extensions. Tax and utility accounts are checked for debts. For condominium units we review the community rules and unpaid common expenses. For rural land, we examine access, subdivision rules and water rights.
What we handle
Title studies
A review of the ownership history, liens and prohibitions for the specific property you want to buy.
Municipal and tax checks
Verification of permits, zoning, final reception and outstanding tax or utility debts.
Company due diligence
A legal review of a Chilean company's corporate, contractual, labor, tax and litigation position.
Promise to purchase and deed
Drafting or negotiating the promise to purchase and the final deed, with conditions that protect the buyer.
Closing and registration
Coordinating signing, payment and registration so ownership is properly recorded in your name.
What a business review covers
For a company, we review the corporate documents and registrations, the authority of the people signing, the ownership of the shares, major contracts and licenses, and pending or threatened litigation. We check tax compliance and labor and social security compliance, because liabilities in those areas often follow the business.
Findings are reported with an explanation of risk and a recommended fix, such as a price adjustment, a condition to closing, a seller warranty or walking away. We are candid about what we could not verify.
How to structure the purchase safely
In many deals the first contract is a promise to purchase (promesa de compraventa) with a deposit. Terms about conditions, penalties and what happens if the study turns up problems should be agreed before money is paid. Final transfers are made by public deed and then registered at the CBR, which is the step that makes the buyer the owner.
Common mistakes foreign buyers make
Buyers often rely on the broker's summary, accept a certificate that is months old, or wire the deposit to an account that is not the seller's. Others forget to check the construction permits of a house that has been extended, or buy a share of a property from one heir without confirming that all heirs are registered.
Ask for current certificates, confirm that the person signing has authority, and do not release funds until the study is complete. If something is wrong, the earlier it is found, the stronger your negotiating position.
Buying in Chile without being there
Send the listing
Tell us what you plan to buy. We run the registry and municipal checks and send a short report with our recommendation.
Power of attorney to sign
Signed at a consulate or notarized and apostilled, it lets us sign the deed and handle registration so you do not have to fly in.
Close and register
Our attorneys supervise payment, signing and registration at the CBR, then send you copies of the final documents.
Buying property or a business in Chile: common questions
What foreign investors ask us before paying a deposit.
Can a foreigner buy property in Chile?
What is a title study and do I need one?
What red flags do you look for?
Should I pay a deposit before the study is done?
Do you also review companies, not just property?
Talk to a Chilean lawyer before you invest
Get an initial assessment in English, confidential and with no obligation.
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