KProjects

Purchasing a home (whether a flat or a house) is a complex issue, which can be a «real headache» for any buyer.

A major parameter of this issue is the question of whether to buy «a newly-built home» or «one still in the plans».

When buying a completed house one should take two things for granted: the quality of the structure, which is in accordance with the technical terms and conditions and the fact that modifications are difficult if not impossible. Surely the buyer is relieved of any stress connected to building the home.

On the other hand, when one decides to buy a home «in the planning stage» one should take into account these basic parameters:

• Financing

Seeing that the cost depends to some degree on the choices made by the prospective owner (e.g. expensive materials), the price of the prospective home should be in accordance with one’s financial capacity. Market research of the available housing, gives the prospective buyer the opportunity to choose a home loan with a low interest rate and in certain cases to receive fringe benefits which means exemption from bank loan expenses (e.g. expenses toward the engineer, mortgage expenses, e.t.c.). Obtaining a home loan, is subject to the signing of the final contract and the right of the bank to mortgage the home.

• The Schedule of Obligations

The document relating to the technical terms and conditions, is a «guide» for the construction of the building, and it clearly specifies and describes all the phases of contruction, the methods and materials that will be used to build the flat or home. Therefore, the prospective owner has a clear understanding of the quality of the structure and is, in fact, the supervisor of the construction process. This being a necessary part of the agreement between the buyer and the seller.

• Changes in the structure

It is common for the buyer to desire certain changes and improvements to the layout of the home. This possibility should be explicitly provided for in the Schedule of Obligations as should the method of payment and completion deadlines since these matters often cause friction. Any changes should be specifically described and be promptly proposed to the constructor so as not to interrupt the construction process.

• The construction process.

The different stages of construction determine the rate of the instalments paid by the buyer to the seller, this always being subject to the agreement between the two parties. Usually determined as seen below:

• The stage when the building licence is issued and construction begins.
• The stage of the completion of the framework or shell of the building.
• The stage of the completion of the plastering.
• The stage of the completion of the floors.
• The stage of the completion of the woodwork installations, the kitchen and bathroom.
• The stage where the common areas and installations are handed over, in the case of a block of flats.

Of course, payments are based on the agreement made but in cases of home mortgages the bank decides since the bank controls the building process via the bank’s own engineer.