A certain proportion of transactions in the real estate market in Bulgaria accounts for the purchase of apartments in residential complexes under construction in various stages of completion. And this is natural, as it gives the buyer the installment payments, the ability to use the credit funds, and a significant 15-20% savings in price. How then are documented on the property? How are transactions between buyer and seller?
In the case of acquisition of real estate in the secondary market or buy already commissioned in primary, 100% payment to the seller occurs immediately upon signing of the basic contract at the notary. If we are talking about the purchase of housing in the construction phase, the situation is as follows.
Payment
The standard scheme of purchase of property under construction as follows. When reserving the facility and signing the preliminary contract, the buyer makes up to 30% of the project cost. Another 40% are paid upon receipt of the Construction act No. 14, i.e. at the stage of readiness of the object under the finishing work. Remaining amount paid to the seller at the final stage of construction at the time of signing of the notarial deed.
The stages of buying a property during the construction phase
- The preliminary contract. Once the buyer has accepted the decision to buy is pre-reservation or contract with the seller/company Builder. The document allocates the object to the buyer, establishes a payment scheme that governs the legal relations between the parties. For reservation of contract on the part of seller is required: a building permit, a visa for the design, certification documents and proof of ownership.
- The preparation of the main contract of sale. Typically, a notarial act is in the final stages of construction or after its commissioning. After signing the main contract, and it is registered in the Bulgarian real estate register BULSTAT, the buyer becomes the official owner of a house or apartment in Bulgaria.
If the apartment is purchased at an early stage of construction when the object of the transaction does not actually exist, the parties signed several documents: the contract of purchase and sale rights for the construction and the contract for construction and installation work. In the latter document, the developer agrees to construct a specific object within the specified period in accordance with the stated in the contract specifications.
The documents from the seller/developer
At the conclusion of the notary deed, the seller must submit the following:
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