Document background
A Letter Of Intent To Buy Land is commonly used in Philippine real estate transactions as an initial step before entering into a formal purchase agreement. This document is typically employed when a potential buyer has identified a property of interest and wishes to formally communicate their intention to purchase, while reserving the right to conduct due diligence and negotiate final terms. The document serves as a framework for future negotiations and typically includes proposed purchase price, property details, due diligence requirements, and timeline for completion. While primarily non-binding, it may contain certain binding provisions such as confidentiality or exclusivity clauses. The document must be drafted in consideration of Philippine property laws, particularly those concerning land ownership restrictions, property registration requirements, and local government regulations. It's an essential tool for initiating significant land transactions and providing structure to the pre-contractual phase of property acquisition.
