ferdie wroteSo the developer can built them with the customers money and bank loans, and they can put the land certificate for a loan if they need them huh?
There's a lot of problem with "naughty" developers in Indonesia, so my advise is: Buy building properties only when the building are finished
somewhat like that...yes, they (not all but most) take the downpayment...this downpayment goes into a short deposit account and the process of building starts (usually)..so they use the DP to start building and to make a little on the side..most developers (and contractors) have running contracts between them and suppliers of buildingmaterials, this means preordered cement/steel/wood/etcetc against set prices at time of ordering, when they have the materials delivered then they pay for that the beginning of each new month (conveniently interests on short DP's are paid out at the end of each month)
@fred...wonder how a bill of sale will stand up in court when the developer filed for bankruptcy ?
