Question 1

How do I know if a developer is legitimate?

Accepted Answer

Verify: 1) DHSUD License to Sell for the specific project, 2) SEC registration, 3) Track record - check completed projects, 4) Financial stability, 5) Online reviews and complaints, 6) Visit their completed projects. Stick to established developers for preselling to minimize risk.

Question 2

What if a developer delays the turnover?

Accepted Answer

Options: 1) Check contract for delay provisions, 2) Document all communications, 3) File complaint with DHSUD, 4) Demand penalty/compensation as per contract, 5) Consider legal action for significant delays. The Maceda Law protects buyers who have paid at least 2 years of installments.

Question 3

What is the Maceda Law?

Accepted Answer

Republic Act 6552 (Maceda Law) protects real estate installment buyers: If you've paid 2+ years of installments, you're entitled to 50% refund of total payments (plus 5% per year beyond 5 years, max 90%) if you can't continue paying. You also get grace period to pay without interest.

Question 4

Can I back out after reservation?

Accepted Answer

It depends on the contract terms and how much you've paid. Reservation fees are usually non-refundable. If you've only paid reservation, you may forfeit it. If you've paid more, Maceda Law may apply. Read the Contract to Sell carefully before signing.

Property Developers FAQ

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Still have questions?

Property Developers FAQ

1How do I know if a developer is legitimate?

2What if a developer delays the turnover?

3What is the Maceda Law?

4Can I back out after reservation?

Quick Links

Other Categories

Still have questions?