Investment risks in the field of construction

In the process of investing funds in construction, an investor, one way or another, may face the likelihood of certain investment risks, regardless of the precautions taken by him.

For example, considering the preparatory stage in construction, one should not exclude even the option in which the construction object will not be submitted to subsequent operation, especially if the collection of money is produced even before all the documentation necessary for construction is prepared. It should be noted that on the part of officials it is planned to adopt a law, on the basis of which builders will be able to sell not just the rights that real estate is already belonging to the investor, but to the fact that he already belongs to ready housing. Now, builders are experiencing certain worries about the fact that the banks have somewhat cooled to them in terms of lending directly, and therefore they make active searches for alternative options that are ready to provide their investments. Be that as it may, but the innovations from the authorities, in fact, support.

Among other investment risks, one can also distinguish the one for the investor in which there is the possibility of extending the construction period, that is, the developer will extend the previously specified period. It is noteworthy that the struggle against a similar option does not seem real, moreover, such investment risks have always existed, and the reason for it is not only the fault of the builders. So, for example, it often happens that you have to suspend work on the basis of protests living in the neighborhood of residents, there may also be different types of land disputes, and it may be that the developer simply does not have proper documentation for the work. Reasons in general can be a mass.

On the extension of the period that exceeds the term specified in the contract, we can say that investment risks of this kind are very common. Often, such situations arise in which the investor may turn out to be the developer, because the meter of the apartment differs from the meter specified in the contract, respectively, it will be necessary to pay extra for him. It is good if the surcharge has to be paid for extra meters at the price at which the last payment made by the investor was calculated, but the option with worst outcome is the payment of meter at the market value.

It should be borne in mind that when investing in the finish (internal), the investor also risks, and therefore it is better to abandon the proposals of the developer, acquiring housing with “naked” walls, and then solve the issue on its own. Unfortunately, the situation at the moment, respectively, should be prepared for any development of events.