Do not be fooled! Here are Tips for Buying a House from Developers


Sometimes there are obstacles we encounter in order to own a house, one of which is a bogus developer. House prices that continue to rise make it easy for people to be tempted by the lure of provocative brochures, down payment discounts, and promised bonuses.

1. Find out and consider the reputation of the developer

Finding out the developer’s reputation is the first step you should take before choosing one. By knowing their reputation, you can consider and assess whether the developer can be responsible for various matters later.

The easy way is you can read in detail through their website and social media to see a portfolio of what projects they have done so far.

In addition, it is also diligent to check the news in the media and the internet to find out if the developer has ever stumbled upon negative cases that have harmed consumers.

2. Pay attention to the legality of Ownership Certificate (SHM) & Building Construction Permit (IMB)

To avoid problems that can occur in the future such as sealing by the authorities, bank credit rejection, and other problems, then you must pay attention to the legality of the house you want to buy from the developer.

3. Ask for clarity on the house certificate when you can change names

Usually when buying a house through a developer, the house certificate will have been changed from the old owner’s name to the developer’s name. If you are interested in buying, make sure you ask more clearly and for sure when the certificate can be transferred to your name.

This is very important because if the certificate has not been renamed to your name, it cannot take credit to another bank from the current bank.

The bank will ask for a certificate in your name so that the bank can approve your Home Ownership Credit (KPR) application and serve as legal collateral in the eyes of the law.

4. Do not pay Down Payment (DP) before the mortgage is approved

Before the loan you propose is approved by the bank, don’t ever want to pay a down payment (DP) that has been determined to the developer.

The reason is simple because there is no guarantee that the bank will approve the home mortgage you want even though the developer has worked with the bank.

If you are still determined to pay a down payment to the developer and the mortgage is rejected by the bank, it will risk that the down payment will be difficult to return or get a percentage discount.

5. Learn about the developer’s obligations in the event of a default

The risk of buying housing through a developer is indeed great, therefore it is very important for you to learn what the developer’s obligations are in the event of a default.

The easy step is that you have to read in detail and clearly the Sale and Purchase Binding Agreement (PPJB) before signing the minutes of the handover of the dwelling.

6. Schedule the signing of the Sale and Purchase Deed (AJB)

The next step is if you have agreed with the Sale and Purchase Binding Agreement (PPJB), then immediately schedule the signing of the Sale and Purchase Deed (AJB) which is legal proof that the rights to land and buildings have been transferred from the developer to another party, namely you as the new owner. This AJB must be carried out with the developer in the presence of the Land Deed Making Officer (PPAT).

7. Don’t transact buying and selling houses under your hands

There is a big risk of loss when you make a house sale and purchase transaction under the hand or on the basis of trust that uses a receipt as proof. Make sure to only do the transaction through a legitimate public notary.

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