The economy is recovering after the worse moments of the COVID-19 and many construction cranes can be seen again in many areas of the Coast.
There are many new developments being constructed and people interested in these new built properties have questions about how to buy a house off-plan.
The process of buying a property off-plan is secure if the necessary checks are carried out the avoid the associated risks of paying money for a house before it has been built. This can be daunting as you will need to rely on the developer’s floor plans, price lists, quality of materials, and other related property documents to make your decision.
To avoid unpleasant surprises these are the checks and questions to be clarified in advance. Before signing any reservation document or paying any deposit, ask the developer about these matters:
- Confirm that developer is the legal owner of the plot of land where the development is being built.
- Confirm the developer is a company registered with the Company House and its capital share.
- Confirm that the developer has building license to build the complex.
- Request floor plans prepared the an official architect. Not just drawings.
- Confirm which bank is financing the development and requirements to take over the mortgage’s developer.
- Confirm which Bank/Insurance company guarantees the funds being paid in advance by the buyers.
- Confirm estimated timing for the construction.
By checking all these points in advance you will have a secure and smooth purchase off-plan. Please be aware that all these documents and information must be at the disposal of future buyers in the sales office so you have the legal right to request them. If any of them are not available, be careful.
Should you are thinking in buying a property off-plan for own use or as an investment, please do not hesitate to contact our Law office for guidance and advice during this special conveyance process.