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developers wrong commitments,

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   asim
Friday, March 25, 2011 05:30 AM 
Reply: >
Dear Brothers/ Mr. CMY:

I am a regular visitor of LRE web site and quite impressed with the amount of information one can get from daily discussions. I want to raise a point here. When ever a housing scheme is launched by any developer, a fake promise comes with the offer that scheme will be developed and possession will be available within 5years(an example) time. And it never happens. People usually bought these plots in hope that either they will construct their HOME SWEET HOME or they will earn some money to keep as savings for their child's or for their hard time of old age. If we go through any post here on your site we can easily understand that these promises by any developer were never been kept.
MR. CMY, Is it possible to request concerned authorities to bring up a new law or amend an existing one for the betterment of general public. I suggest that there should be some agreed time limit to develop and handover the possession to buyer and this time period can be calculated by the authorities considering the dimensions of whole scheme/volume of plots/planned structures etc. etc.
In one word, there should be some calculations to identify the time spam required to develop the scheme as per planning and then apply the law to ensure that developers are following the rules.
This way buyer can always plan when he can start constructing his home or when he will be getting the fruit of his investment.
Uncertainty will be finished and we all will be knowing exactly about our investments.

Its a holiday here in DUBAI and nothing to do not relax. So i thought lets see if somebody have the same opinion like i do.

Please add your suggestions and comments to make it a competitive and useful post.

Regards.
Jameel replied on Friday, March 25, 2011 06:29 AM 

Mr Asim I wish you know the problems of developers, The Main problem is to get land , The Big housing schemes are typicaluyy on Kilometeres and have many owners of Land. The process of taking land can be painfully slow due to Judicial system where you can keep any case pending paying little bribe to Court Clerk. As per rules of LDA you can Launch a society when most of Land is acquired but it is not possible to take 100% of Land the reason is small patch holders dont get much money by getting 1/3 or 1/4 Land and rather Black mail developer by obstructing main roads and main pipelines. Other problem comes due to Qabza Holders which dont have any legal papers.
Other than this there are lots of problems Like legalities of LDA etc this all make process of hand over very slow.
asim replied on Friday, March 25, 2011 06:45 AM 

JAMEEL SAHIB:
most probably, truly said.So there are many hiccups and hurdles for developer! alrigt. But it's still you and me who suffers the most. There could be an intermediate solution like giving an approximate time to developer(instead of 5 years it could be 5-7 years).
Brother, i have taken a file of one housing scheme near NEW ISLAMABAD INTERNATIONAL AIRPORT back in 2005. They have promised that scheme will be fully developed in 5 years and you will able to start constructing your house from that time onwards. 6 years have passed and even the plotting is not yet done. I don't have any idea that how many more years i have to wait. would i able to atleast have a plot on my name in my life!!!!!!. NO IDEA AT ALL.
Its you and me who SUFFERS the most.
Basharat replied on Friday, March 25, 2011 08:04 PM 

100% agree with Asim. There must be a law to protect the rights of buyers. Developer must be bound to deliver for which he has promised. If a developer has a problem in getting land, why buyer should pay the price. It is a contract between buyer and developer and not between buyer and land owners.
asim replied on Saturday, March 26, 2011 04:11 AM 

thanks for agreeing BASHARAT SAHIB......... in any part of the world, the upper hand is always of that who gives money and the one who takes it. This unfair business is present in PAKISTAN only. I gave you my example where i don't know the future of my investment.Authorities should think about finishing the uncertainty among buyers to make this real estate business more stable.
Pardesi, Jeddah replied on Saturday, March 26, 2011 08:26 AM 

The dilemma is that every now & then these developer or same people behind the scene with a new name launch new schemes & they are able to trap new fishes. All this is possible because of weak administration. The tycoons of this business can easily exploit the situation to their interest.

Leaving this issue hanging in between I would rather shift my focus to the other aspect resulting out of this situation is the remittances from expats this year will be more than $11b - the vertebral column of our ever weakening economy. Until 2005 a substantial part of it went to the real estate sector as some rules-of-the-game were observed but now you can well imagine despite those new fish traps, majority of the funds are kept away from the real estate sector and the worst part is that much more can be remitted by the expats if the shattered confidences is regained. A positive thought process in the minds of policy makers can trigger this.
Asif,Foreigner replied on Saturday, March 26, 2011 10:10 AM 

Thanks to all participating very important issue.Many years i was thinking onthat issue.first of all buyer right must be protected by law.When ever you buy any house/villa, plot, from any developer ,he protects his rights by all means getting sign all legal/illegal papers from the buyer at the time of contract, when you pay some money he bring more modified paper to get sign from buyer, other wise loose your money, buyer pay all the money site is never developed and developer demands more money for nothing and claims same time if not paid plot will be cancelled, buyer is upset and loosing the money and dont get favour from any legal authority, by this way every year millions people loosing their hard earned money.
later also bring hidden charges, even newly constructed house/vills
not as per the agreement.Most of the developer also claim that no one can challange in court, What is this? you pay all amount later you come to know developer run away there is no land, i can qoute many examples, my point is ther should be a strong law enforce to protect the buyer rights.Also there should be law that no scheme should be sold without the developement with define facilities.
P request friends put more light on this topic.Thanks
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