Subcontract before purchasing the property?

Hello everyone,

We are basically in agreement with our future general contractor, are having the contract reviewed by a specialist lawyer and a friend who is an architect, and then we would be ready.

However, our notary appointment has roughly been postponed to the end of June/beginning of July. We will be purchasing a municipal-owned plot of land.

However, the general contractor has already informed us that the shell construction cannot definitely be completed this year, as he won’t be able to manage it on time. Thus, due to the winter, the entire construction project will be delayed by several months. However, we urgently need space as we have more children on the way.

He would grant us a right of withdrawal in the contract should the land purchase fall through for any reason – the costs incurred up to then, presumably 3.5% of the total sum, would of course have to be borne by us.

The question now is whether there could be any other issues with concluding the contract before the notary appointment for the land?

Our mortgage lender sees no problem with it, as we would finance the 3.5% from our own capital and the financing would only start with the land purchase.

What do you think?

EDIT: Can the heading please be changed to "Conclusion"? Thanks!

However, our notary appointment has roughly shifted towards the end of June/beginning of July. We will be buying a municipally owned plot of land.

What do they say? A mere formality or is it uncertain?

What do they say? Formality or is it uncertain?

Formality.

What does the degree have to do with it? Is it only about being able to plan ahead? How long does the land registry entry take with you? For us, it was another 3 months after the notary appointment until we were listed in the land register, then it took several more months until the bank was also listed and we could draw the money. Or to put it another way: If we had our notary appointment in July and had no equity for the shell construction ready, we wouldn’t have been able to start building before January.

I also find that the point made by could possibly be more problematic than the mere purchase of the property. Depending on the equity available and possibly what still has to be paid or paid immediately. In our case, the whole process only took 2.5 weeks, but it can also take months.