Project Proposal: Payment Process and Guarantee Assurance
Pre-Construction Sales:
Payment Process Overview: The real estate commission rate is set at 20%, which will be deducted from each payment made. The initial 20% payment is required to be conditionally blocked in a joint account opened on behalf of the client.
Conditions for unblocking:
- Signing of the Buyer-Seller Agreement.
- Execution of the transfer agreement concerning the right of superficies.
- Approval documents related to the plot from the relevant Maldivian authorities.
Scheduled Payments:
- 20% upon determined dates.
- 20% during foundation laying.
- 20% after the completion of the rough construction.
- 20% upon final completion of construction.
Title Transfer Process in the Maldives: The property transfer involves specific authorities and approval processes in the Maldives. The buyer is responsible for attorney fees ($1,000) and official documentation charges including court case and notary registration ($2,500).
Additional Costs During Sales Phase: Total additional costs and details will be provided, including buyer’s costs estimated at around $5,000 and seller’s expenses at $12,000.
Insurance and Details Provided to the Customer Regarding the Land and Building:
- Project construction risk insurance (seller)
- Building and third-party insurance (buyer)
Post-Construction Management Firm’s Guarantee Payment and Processes: The project is guaranteed to generate a minimum annual income of $1,500,000. This management document can be shared upon the buyer’s request.
In case of Project Cancellation by the Construction Firm: If the construction firm fails to complete the project for any reason, the insurance company or local authority will appoint a new contractor within 45 days or the local government will complete the project.
Process Following Customer-Initiated Cancellation of Purchase: If the buyer fails to complete the transaction, they must formally notify the seller within five days and may request an additional ten days. If unable to complete within the granted 30 days, the property may be transferred to a third party. Discounts up to 20% may be considered for facilitating sales to new buyers. Personal expenses and official transfer or contract fees incurred by the buyer will not be reimbursed by the seller.