Real Estate/Purchase. Timetable for a purchase in VEFA: how does it work?
Are you planning to buy a new home as a VEFA from a property developer? The contract of sale that you will sign with a notary must include the price and the instalments of the payments, which will be made according to the progress of the work.
A mandatory timeline
Staggering payments is mandatory in an AFFV, and the sponsor may not require larger payments or face criminal penalties.
You can pay the maximum:
– 35% of the price on completion of the foundations
– 70% of the price for the water removal (walls and roof completed …)
– 95% of the price on completion of the building
– The balance (5%) when the property is made available to the buyer.
The funds are released by the bank that finances your mortgage.
Keep the balance in case of faults.
When your home is delivered, if you notice any defects or if you dispute the conformity of certain improvements with what is written in your contract of sale, you may not pay the balance of the 5% to the developer and deposit the amount with a notary or a bank while waiting for repairs to be made.