Semi-detached house: two contracts (landowner and construction company)

I just called another construction project. Different provider. It works in a way that you also have two connected contracts. One is the purchase contract with the landowner (project developer) and the other is the contract for work with the builder, but there you yourself are the client.

How is it with financing such projects (well, you’d have to talk to the bank anyway). But if you conclude the purchase contract and have to pay it in installments (based on construction progress). Does the bank agree to that if the construction takes about two years? I once spoke to a bank and they said the money would have to be drawn within one year.

How is it with financing such projects (well, you would have to talk to the bank anyway). But if you conclude the purchase contract and have to pay it in installments (according to construction progress). Does the bank agree if the construction takes about two years?

Yes.

I once spoke to a bank and they said the money would have to be drawn within a year.

It probably means that you pay commitment interest after 12 months. Not being finished one year after the financing is also normal.

Does it then make sense to take out builder’s legal protection insurance?

In my eyes, it doesn’t make sense, but I have already had some heated discussions here with supporters of the Arag insurance.
In my view, this insurance obviously only makes sense if a lawsuit is conducted. However, before it gets that far, other measures are taken. An insurance company will certainly protect itself in the fine print from having to pay for every little nuisance of the builder.
From experience, it is precisely those who want to enforce “their” rights in everyday life who have legal protection insurance.

According to the exposé or the person in charge at the construction site, the builder is the construction company.

Ah, okay… developer

What still annoys me a bit is the planned construction time of 2 years. That means, according to the current status, moving in would be May 2023. I wonder what the reasons are (buffer due to high raw material prices right now?)

That would annoy me too. They will probably build all the DH at the same time, I think.

Will the bank agree if the construction takes over two years?

They will have that paid through commitment interest.

Does it then make sense to take out builder's legal protection insurance? That's what the lawyer meant.

As I said, ask another lawyer about construction law matters. With a property developer, you wouldn't even be the builder.

The provider is a real estate brokerage agency. The property belongs to an investor and will be actually divided. There will be two contracts: one with the property owner for the purchase of the land and one with the construction company (contract for work). The notarized purchase contract covers the purchase price of the entire package (just over 600,000 + ancillary costs).

I have not yet seen the investor, but a total of three exposés: the one you emailed me, a second one from the construction company, and a third from the marketer. In all of them, I did not discover where the basis of my biggest doubt, the real estate transfer tax exemption of the extras

These costs will then be charged separately, so they will be added, whereby so-called variants of the floor plan are offered here.

is supposed to be promised (?)
[A] purchase contract for the entire developer product made the most sense to me here. For the total price promise, however, the developer would first have to have the entire product to offer, that is, have already acquired the land before building. As soon as you yourself are to become the buyer vis-à-vis the landowner investor, two separate contracts make sense – but second, the developer would then be the general contractor and could only very limitedly guarantee you the total price including land; and first, this would not change the tax connection of the whole thing. The specific tax exemption of the extras is in any case nonsense – at least not without illegal tax dishonesty.

that's why there are two contracts. The investor sells you the land and the contract for work is then concluded with the construction company (builder). I think the agency marketing it will be included in the price. If I were to do it, I would definitely have the contract reviewed by a construction lawyer again. Also to rule out that there are any traps in it. What do you generally think about the building exposé? Does it look qualitatively okay? I'm not sure whether the building material is mainly concrete. I just don't know what to make of that.

In terms of price, you hardly get anything newly built cheaper and existing properties are similarly expensive, if not more expensive. I think building yourself gets you into similar ranges (if you calculate 500 euros/sqm for the land).