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Buying property under construction – what are the specifics

A newly built home bargains – such a listing would have tempted each buyer. Uncompleted properties are good, but also more risky investment. Often compensated owners of apartments hurry to sell them before completion. But how is it best to get a deal, so that we are insured against possible problems in the future?

The seller may transfer ownership to the buyer with a notary deed and to establish a legal mortgage on the apartment in its favor, states lawyer Antoaneta Nenova. This will guarantee the payment of the balance of the purchase price (for example 50%), or you could conclude only a preliminary agreement.

The preliminary contract is a contract for intention, specify the consultant Mladen Sadinov. It doesn't have to be submitted in the Registry Agency. It is enough to be notarized.

Nenova, comments and the question regarding construction. In her words, it should be prepared and signed a separate contract for construction between the buyer, the seller and the builder.

Often owners of the apartments are waiting for years after the deadline to enter their completed homes. The advice of the lawyers is to be provided the possibility of cancellation of contracts in cases of delay in completion of the construction.

There are other options – to be bought an unfinished house with a building permit. On the purchase of such property is recommended to work with a good specialist, because there are many things that need to be checked, said consultant Emilia Ivanova.

For building permit there are 2-years period within the construction must commence. The buyer must obtain the architectural projects, to make sure that he likes the project.

He also has to see whether what has been built so far, satisfies the relevant projects. Especially if there is digging and then backfilling works – he needs to check whether it is executed under the mound, waterproofing, drainage, sewer, etc.

There are quite a few other Acts before the Act model 16, emphasizes Ivanova. Every stage of construction ends with the acceptance of which means with a relevant Act.