For buyers, the forward sale offers several advantages. They can make a commitment while having more time to terminate their lease, finance the purchase under the best possible conditions and move in at an agreed date.
What exactly is a forward selling?
A forward sale is an authentic contract drawn up by a notary, in which the parties – buyer and seller – agree on all the elements of the sale as well as its term. As mentioned above, this mechanism gives the various parties the time they need to organize their move or terminate their lease, for example.
How does it work?
An agreement, in the form of a deed of sale, is reached between the parties and then signed before a notary. However, the sale will be executed at a later date, on a fixed date known as the term. In other words, the term refers to the date by which the contractual obligations must be fulfilled. During this period, the buyer is not yet the owner of the property. He or she will become the owner when signing the forward sale, i.e. the final sale.
On the due date, the buyer pays the outstanding amount. As soon as this has been done, the transfer of ownership by entry in the land register is also carried out on the same day, as is the handover of the keys.
The buyer then effectively becomes the new owner of the property.
Do I need to pay a deposit?
Buyers often pay a 10% deposit into the notary’s account before signing the deed of forward sale. Although this is not a legal obligation, it is common practice.
If the parties wish, they can agree on other terms and conditions. It is perfectly possible to agree on a fixed deposit amount, for example, rather than a percentage.
On the other hand, how does direct selling work?
Direct sales are aptly named. This is a transaction in which the transfer of ownership and payment of the sale price take place immediately, when the deed of sale is signed at the notary’s office.
In this way, the buyer acquires full ownership of the property as soon as the transaction is completed.
Conclusion
In conclusion, every property sale is unique and requires a personalized approach to meet the needs and constraints of all parties involved. Using a broker is therefore particularly advantageous for managing and accompanying the parties in this type of situation in an efficient and secure manner.
Forward selling is an ideal sales model, as it provides both the buyer and the seller with certainty of sale.
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