The Property Podcast ASK448: How do I avoid New Build scams? PLUS: Do I really need a solicitor?
Oct 1, 2024
Worried about new build scams? Discover tips on how to ensure developers are trustworthy and how to conduct proper due diligence before investing in off-plan properties. Plus, one listener grapples with whether a solicitor is necessary for handling limited company mortgages. Get insights on navigating legal requirements and the evolution of online legal services. It's an engaging mix of safety tips and essential advice for any property investor!
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Off-Plan Property Due Diligence
- Do your own due diligence when buying off-plan properties, even with reputable businesses.
- Look for insurance-backed or escrow-held deposits, ideally no more than 10%.
Risky Off-Plan Deals
- Avoid off-plan deals with large deposits (25-50%), especially if the developer insists on their own solicitor.
- These deals often have weak protection, despite claims of full protection.
Property Hub Invest Experience
- Property Hub Invest, despite handling millions in property, had one off-plan deal go wrong.
- It had a protected 10% deposit which minimized losses.