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How can consumers protect themselves from the chaos in the pre-sale housing market? The builders regret not to sell the house and the buyers are “unsubscribed”

How can consumers protect themselves from the chaos in the pre-sale housing market? The builders regret not to sell the house and the buyers are “unsubscribed”

Text/You Xiaoyan

According to the “Foreign News” report, the price of the housing market in Taiwan has risen. Not only the raw materials and the land are rising, but even wages are rising. There have been cases in the central and southern regions where pre-sale builders would rather return their households to lose money or break their contracts instead of selling. “Compensation for breach of contract is relatively small!” A real estate company shared that he received an appointment fee of 100,000 yuan, and he has not yet entered into a formal contract. Only a double return, which is 200,000 yuan, will be able to terminate the contract with the buyer.

The cost is soaring!Xiaojian Shang would rather return than sell

A Kaohsiung property owner said that due to rising construction costs, the cost of building a house in Kaohsiung has risen from 120,000 yuan per square meter in early 2021 to more than 130,000 yuan now. “Don’t think that 10,000 yuan is not much. Ping house price is more than 200,000 yuan to sell, the cost difference is huge!”

According to his actuarial calculations, the construction cost of a building above the 15th floor in Kaohsiung in 2019 was only 70,000 yuan per square meter. It will rise to 120,000 yuan in 2021. As soon as TSMC announced the establishment of the factory, because everyone robbed workers and building materials, it immediately increased to 13. Ten thousand yuan, “The cost of 1 ping alone will increase by 10,000 yuan, but we have to increase the price by 20,000 yuan per ping. Because the pre-sale has not yet started, who can get it right and where will the cost increase?”

“Foreign News” analysis, the increase is more land. At the beginning of 2021, the price of land around Kaohsiung University in Nanzi, Kaohsiung, was originally about 300,000 yuan per unit, but by the end of 2021, nearby land was already 600,000 yuan; in terms of the cost of land alone, the builder would have to increase by 5 per square meter. If you add 20,000 yuan to the cost of construction, the house price will have to be 50,000 to 70,000 yuan more than before. In the future, Kaohsiung may not have house prices below the prefix 3. The industry emphasized, “This is not hype, but just reflects reasonable costs.” The biggest beneficiaries are landlords and contractors, not builders.

He analyzed that if the builders did not calculate the cost properly, and the bank tightened the money for the builders, the civil construction financing rate would drop, the remaining housing loan rate would also be cut, and the capital turnover would have problems. “Just don’t cover it!”

If you insist on it, the cost of accommodation is not good, the quality of the contract is not good, and the fund cannot be successfully handed over to recover the funds. The unfinished building appeared. The “Foreign News” report pointed out that this wave of housing market is particularly good, and there are a lot of 5 or 6 people in the market who have raised funds to build houses. The risks are particularly high.

Xu Wenchang, president of Eurasian Assets Appraisal Group, said that the U.S.-China trade war started in 2018 and Taiwanese businessmen returned to set up factories, which caused the surrounding residential buildings such as Zhuke and Nanke to rise. Later, due to the loose currency, lack of labor and materials, and rising cost of the epidemic, Following the inflation issue, people vying to buy real assets, coupled with the transparency of real price registration 2.0 on the road, caused this wave of housing prices to rise rapidly and violently. The combination of various factors has never been seen in the past, so the “builders regret selling pre-sales” House, rarely seen in the past!”

Understand the corners of the eyebrows!Buyers can fight for rights

Attorneys Xie Jinyi and Huang Jiancheng, directors of Riheng International Law Firm, said that if a construction company repents and does not sell, it can be divided into two different situations before and after signing the contract. Before signing the contract, if the public and the builder only sign the “home purchase and purchase reservation form”, and in fact the public does not have a pre-sale house agreement with the builder, then in accordance with Article 249, paragraph 3 of the Civil Law, the public can only The builder is required to refund twice the deposit.

After a contract review period of more than 5 days, when the public and the builder have signed a pre-sale house purchase and sale contract, that is, after signing the contract, the builder must perform it in accordance with the contract. In addition to debts and non-fulfillment of the liability for compensation, if the builder does not complete the contract within the agreed time limit, the contractor shall, in accordance with the provisions of the “Presale House Purchase and Sale Contract Template” and the “Presale House Purchase and Sale Contracts to be Recorded and Not to be Recorded” issued by the Ministry of the Interior, 15% of the total price should be compensated for liquidated damages.

For example, the two parties agree on a liquidated damages at 15% of the total price of the pre-sale house. Assuming that the total price of the pre-sold house is NT$20 million, the builder should pay the public a penalty of 3 million yuan for illegal termination of the contract.

The Department of Lands Affairs of the Ministry of the Interior pointed out that if a builder deliberately refused to sell because of an increase in the price, and harmed the property rights of consumers, it would involve the provisions of Article 33 and Article 36 of the Consumer Protection Law. According to the “Financial News” report, consumers can report to the local government consumer protection unit. If the investigation is true, the viable industry will be improved within a time limit. If the industry still does not improve, the highest penalty can be imposed in accordance with Article 58 of the Consumer Protection Law. 1.5 million yuan.

Wu Jiade, deputy general manager of Huayoulian, said that the retreat of contractors is more common in small contractors or contracted contractors. Listed counters or well-known contractors take into account goodwill; and if the contract is breached after the contract is signed, the compensation will not be lost. Therefore, even if a case loses money, most people will continue to implement it. It is recommended that the public carefully investigate the builders’ “details” before buying pre-sale houses. Damage to their own rights.

Further reading:

Full analysis of the real estate tax amendment! Winter is coming for pre-sale houses?The sell-off wave is brewing

How to choose pre-sale houses, new existing houses, and second-hand houses? If you have no money and want to buy a house, choose “Future Quotes”

Shot!Pre-sale housing was fined 1.2 million for joint inspection of Hsinchu “Zhukehui” construction