RECORD numbers of investors are rushing to buy overseas property, unaware that they could become entangled in expensive legal problems, experts warn.
This is because the seller's - or vendor's - lease may include conditions that can add thousands of dollars to the cost of maintaining a flat or house.
Foreign property sales are booming as investors seek alternatives to the territory's overpriced housing market or seek value from recovering markets, particularly Britain.
But the benefits of settling a sale quickly can be outweighed by the costs later from unforeseen legal obligations.
Melvin Berwald, a senior partner with London-based Philippsohn Crawfords Berwald, warns that vendors can stack a contract in their favour.
Mr Berwald, whose firm specialises in conveyancing for Southeast Asian-based investors in British property, said: ''Avoid leases which provide that in the event of the tenant becoming bankrupt - or if the tenant is a company which goes into liquidation - the landlord is entitled to treat the lease as forfeited.