Consignment is a golden mean between the primary and secondary markets

To start earning from your real estate, you do not have to wait for the end of its construction. You will be able to profitably invest in square meters and resell them with a considerable profit while the hard-working developer is choosing the bricks and shade of the future facade. It is also not difficult to interest the buyer in our new topic. Just imagine: right now you can buy an apartment, which, after putting the building into operation, will noticeably increase in price. You will be able to create a cozy family nest or continue the search for a new home, occasionally making a profit from renting out or selling the old one. Enticing, isn't it?

Assignment, all its advantages and pitfalls will be revealed to you in the lines of our new article.

Briefly and clearly: what is an assignment?

Why not use a much simpler and more familiar word - resale? The point is that:

The transfer of an apartment is a contract, upon signing of which the previous owner cedes ownership rights to the real estate that became the subject of his investment.

Too complicated? Let's explain more simply: the owner of the apartment gives you the opportunity to be the first to cross the threshold of the new house and be able to breathe life into it with the help of a few design tricks and skillfully selected materials.

Trust, but verify

The desire to sell the object at such an early stage does not mean that there is something wrong with it. The real estate market, like life, is quite volatile. Someone may need a large amount of money to quickly solve problems that have arisen spontaneously. And someone simply initially planned to make their purchase in a way to earn quickly without extra effort. Whatever the reason for selling, it does not mean that you should blindly believe the assurances that the purchase will bring tons of joy and not an ounce of hassle.

The transfer is at an intermediate stage between the purchase of real estate in the primary and secondary markets. Therefore, you should carefully check all possible risks and all parties to the contract. Before signing the documents, make sure that:

• there were no violations in the contract between the developer and the seller
• the developer has all the necessary permits for construction on a specific site
• the developer granted permission for the resale of the object in the building, which is under construction
• the developer strictly adheres to the deadlines and you can get your property on time
• the terms of alienation of the seller's rights to the apartment are observed

Coping with such a volume of work without qualified help will be a difficult task. But no one says that you have to bravely put everything on your shoulders. T.H.E. Capital will make sure that you do not have to waste your nerves on bureaucratic formalities and legal subtleties. Our team of professionals will deal with everything in a matter of hours.

For whom to prepare which documents?

In order to buy real estate on assignment, you only need a passport, a Taxpayer Identification Number (TIN) and the consent of your significant other if you are married. If you act as a seller, you will have to prepare a much larger package of documents:

• passport and code (where without them)
• a contract signed with the developer, which confirms that you have invested in a specific object
• a document that will confirm that you have paid the developer for the real estate (original documents or receipts must be provided)
• the developer's consent to transfer
• investor's consent
• marriage or divorce certificate and husband's permission to sell jointly acquired property

After receiving and checking all the necessary documents, you can start signing. In addition to the transfer agreement, the new owner also receives:

• the original of the investment agreement
• receipts or documents about the payment of a specific amount by the investor to the developer
• if necessary, the developer's consent to the assignment can be requested

Having all these documents, the buyer will be able to protect himself and his interests in case of disputes from any of the parties to the contract.

Step-by-step instructions: from idea to result

You already know what nuances you should pay attention to and what documents you will have to prepare, so now you just have to act according to a simple and clear scheme:

1. Without permission from the developer, there can be no question of an agreement. It is worth starting with receiving.
2. Checking the developer's reputation, reliability and compliance with the stated construction terms.
3. Verification of the developer for the presence of the necessary permits for construction and the absence of lawsuits.
4. Analysis of the investor and his motives.
5. Conclusion of the contract with the help of specialists.
6. Signing a testamentary document.
7. Certification of the contract of assignment by a notary.

In the rush of joy, you should not forget about everyday matters - about additional expenses that you cannot get rid of. This includes not only standard ones taxes on the purchase of real estate, and the commission may require the developer for permission to transfer. The amount of her fee is from 1% to 5%. This amount can be paid both by the seller and by the buyer - it all depends on your agreement.

To buy or not to buy? Let's answer the questions together!

Buying real estate should be a conscious decision. Assignment is only one possible way get your own apartment in Kyiv. Like any other, it has its advantages and disadvantages.

➕ Have you fallen in love with a new project at first sight, but didn't have time to invest in it? Assignment is a second chance that will allow you to purchase the desired apartment, even if the developer has already sold out all available options.

➕ The price per square meter will be 10-20% lower than the market price because the building has not yet been put into operation. Once all the work is done, your property will instantly increase in value without any effort.

➕ Investing in the project, you become a hostage of time - you are separated from the long-awaited apartment by many months, during which the pit will turn into a new building. At the time of the sale of the object from the assignment, many works have already been carried out, so the waiting period is much shorter.

➕ You don't have to take risks, trusting the promises of the developer. The previous owner has already managed to make sure that the stated terms correspond to reality.

➖ Got problems? The seller is useless here because he was only a temporary intermediary between you and the developer. Now all issues will have to be resolved directly with the company.

➖ Be prepared for additional costs - the developer may reluctantly sign the transfer permit and demand the payment of a commission for his consent.

➖ You will have to forget about installments and pay the entire amount at once. Exceptions can be made in the case of an apartment that is bought with a mortgage.

➖ Together with the possibility of partial payment for the mortgage, you take over all the obligations under the loan agreement concluded between the investor and the bank.

In which direction does the bowl of your scales lean? Do not torment your soul with useless doubts - seek help from professionals. Experts of THE Capital agency will advise you on a specific object and help you make the right decision.