Contract means an agreement of the parties on the establishment, change or termination of civil rights and obligations. In order to ensure the maximum legitimate rights and interests of buyers in case of disputes, the contents of this Contract must comply with the provisions of law. In addition, the Contract does not include terms that are disadvantaged to the buyer. This article mentions the risks of entering into a real estate purchase contract formed in the future.
Real estate purchase contracts shall be void
The subject can sign a real estate purchase contract formed in the future with the buyer can only be:
– The investor for the project; or
– The person/organization authorized by the Investor to conduct real estate business at the project.
Where the real estate seller is not the subject of the right to entering into a contract, the contract shall be void even after it has been concluded. Then the legitimate rights and interests of the buyer will not be guaranteed.
Thus, the buyer needs to know exact information about the Certificate of land use rights, ownership of houses and other properties attached to land (herein for short, GCNQSDD), project dossiers, construction drawing designs approved by the competent authorities to identify the seller in the contract as the person with the right to the project that the buyer is having. purchase plan.
The buyer grants his/her own interests when there is an unfavorable clause in the real estate sale contract
Essential goods and services must register contracts according to the form and general transaction conditions specified in Decision No. 02/2012/QD-TT and Decision No. 35/2015/QD-TT. Accordingly, in case of purchase and sale of apartments, the contract will have to be registered according to the form. In the event that there is a provision in this Contract that exempts the Investor from liability or increases liability, eliminating the buyer’s justifiable interests, this clause shall not take effect.
Thus, if there are provisions mentioned above in the real estate purchase contract, the legitimate rights and interests of the buyer are still protected. If a dispute occurs, the buyer has the right to fully ensure his/her rights in accordance with the Civil Code and the Law on Protection of Consumer Rights.
In fact, if the Contract has the unfavorable terms as mentioned above, the buyer still has the right to ask the Investor to ensure his or her inherent interests. In case the investor cannot guarantee the interests, the buyer has the right to request competent agencies such as the Consumer Rights Association and the Court,… to settle disputes between buyers and investors.
Not to be granted Certificates of land use rights after signing real estate sale contracts
First, checking whether the project is subject to a decision on land acquisition, notification of clearance, and demolition of houses by the competent authorities is one of the factors to minimize risks for buyers. Determining whether the investor has fulfilled the obligation to pay land use fees and tax amounts related to land is also an important issue. Currently, many people are not granted Certificates of land use rights because the Investor still owes financial obligations to the State.
In this case, the buyer needs to check the legal status of the property that is intending to buy. In addition to being able to determine whether the property is eligible for sale and purchase, the buyer can also grasp the possibility of being granted Certificates of land use rights when terminating the Contract.
Price benefits when conducting real estate purchase and sale
With the situation of real estate prices changing day by day and some places land prices can increase 2-3 times in a short time, determining land prices when signing real estate purchase contracts will be able to help buyers ensure their maximum benefits during the transaction process.
Regarding the sale and purchase price, it is currently required that the parties agree on the price at the time of signing the contract and the customer is entitled to the house purchase price at the time of signing the contract, unless otherwise agreed by the parties. Therefore, the parties must agree on the terms of sale and purchase prices at the time of signing the contract. When the price is agreed upon by the parties. However, if the customer chooses the price according to the time of signing the contract, the seller must follow the will of the buyer.
In order to ensure their interests, the buyer should request the Investor to set the sale price at the time of signing the contract. Thus, in case the land price changes, the amount of money that the buyer has to spend to buy real estate is still not changed in any case.
The establishment of real estate purchase contracts is a very important legal act to be able to act as a basis for settlement in case of disputes. The conclusion of the Contract without accurately identifying the issues to be clarified as stated will directly affect the legitimate interests of the buyer in accordance with the provisions of law.
Above are the legal sharings about 04 risks when signing real estate purchase contracts formed in the future.
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