Surprise Pre-Construction Delayed builder won't return funds until unit is resold

[LionKing64]

What does the contract you signed say?

Stay strong, my friend.

The contract says monies will be returned if the project is not delivered after a 6 month grace period which has come and gone.

 

[LionKing64]

Most "projects" have a name, such as what Notengo posted. In Punta Cana there are "many" projects/new constructions you can find looking through realtor websites. But they have a name, such as Sun Garden, Colinas Punta Cana, Blue Marlin, etc.

The company is IBK INMOBILIARIA, S.R.L and the project is called Portales De Punta Cana

 

[LionKing64]

Did or does this project have a name?

Portales De Punta Cana

 

[LionKing64]

I guess it is “Portales”, as it is currently the only partially finished project of the mentioned company..At least it’s being build.

What I don’t get is why one would pay over an 80% deposit for a last phase and not expecting it may take a lot of time before they are even starting it. The number one known issue with pre-con are delays. Payments are usually done when they are actually building your lot and mostly to a maximum of 30% until it is ready. Too many pre-con buyers wear pink glasses in my opinion.

I only paid like 25% as the deposit.

 

[LionKing64]

Good afternoon. As someone who has successfully bought pre-construction in the Dominican Republic (one in Santo Domingo and the other in Punta Cana), I'm a bit confused and wondered if you could fill in some details. When you say they are "delayed", do you mean they have not broken ground or they have broken ground and are in construction and are just "delayed". Delays while unpleasant and frustrating are standard anywhere in the world. Every situation is of course different. For my projects I did extensive research on the developer, the previous projects, status of their ownership of the land, reviewed the contract with a good lawyer, went back and forth several times and months on the contract before money was exchanged. And yes, they are correct in saying that receiving the title will take several months, some projects take longer depending on whether they are tax exempt (confutur) which basically allows you to exempt taxes for 15 years. Those titles take unto 6 months to receive that is correct. Can you clarify what you mean by delayed?

The project has broken ground for other buildings, however the building that I have reserved has not yet been built. They have been moving albeit very slowly. The delivery date was DICIEMBRE 2023. This is the IG page for the project. https://www.instagram.com/ibk_inmobiliaria/ people are upset so they have disabled comments and are trying to show happy customers.

 

[keepcoming]

There is a realtor in Philadelphia (he works in the NJ/DR market also) that had this project on his social media page. I am trying to find it again. My spouse knows him, he sends "properties" every once in a while, to us since he knows we were looking for something in the Punta Cana area. I remember it (seeing the link in post #25) because I thought it had too many buildings. We were looking for something smaller and closer to the ocean.

 

[SteveK]

FYSA- Be Careful when Signing Pre-Construction contracts..Dollar value not as strong as it was before 😲

 

[mykulairon]

The crazy part about this is that they’ve gotten a whole lot better than they used to be. It used to be a big investor would over sell a bunch of units and then when it was time to turn them in, he will be nowhere to be found. He’d randomly pop up in front of a mansion or something a couple years later though.

 

[chico bill]

FYSA- Be Careful when Signing Pre-Construction contracts..Dollar value not as strong as it was before 😲

Yep but demand for properties in DR has softened significantly as well

 

[chico bill]

#1 rule in DR: A guarantee is a lie.
#2 rule :Refunds are never given.
Overarching rule : Caveat Emptor