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Someone knows if preconstruction investment is a scam? |
if it's not a scam how does it work? What are the rules? how much money can we make? What are the things to avoid and the risks? thank you. Preconstruction purchases are not inherently dishonest, and can, in fact be very good investments. By financing the building of the properties, you are assuming part of the risk of failure on the part of the builder, so it is best to buy from a large, reputable builder. They offer the discounts a) to raise capital for the project, and b) to get their properties pre-sold, which is good inducement for further purchasers. You still must make an investment decision about the house/condo/property that you are financing, as with any other real estate purchase. The primary disadvantage is that your money is tied up until the unit or project is completed. |
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