Real Estate Operation
The real estate developer advances the required amount of money in order to estimate the potential of a real estate projects: Soil survey, local urbanistic plan and regulations, real estate market, architecture blueprint…
Once the capacity planning is performed and the building or renovation or development permit has been issued by the city hall regulation desk, the real estate developer can launch the batch presale process.
Once 50% of the batch has been acquired/reserved, the real estate developer can obtain a loan to finance the acquisition of the property and the first part of the building work. The bank funds between 80% to 90% on average and the real estate developer must finance the rest with his own funds or can get as much as 80% of his own funds thru a crowdfunding campaign.
Once the building work of the project has started and until the final property delivery, the real estate developer can request funds from the new homeowners according to a ‘funding schedule’ that is predefined in the property sale contract.