Pre-Selling
The practice of selling property units (lots, townhouses, condominiums) before the development is completed or construction has begun. Buyers purchase at lower prices with the expectation of value appreciation upon completion.
📖 Definition
Selling property before construction is completed or started. Buyers get lower prices but assume completion risk. In the Philippines, developers must have at least a Temporary License to Sell (TLTS) from DHSUD before pre-selling.
📄 Buyer Protections
PD 957 requires developers to deliver projects within the promised timeframe. The Maceda Law (RA 6552) gives installment buyers the right to a grace period and refund if the developer fails to complete. Always verify the LTS/TLTS status with DHSUD before purchasing.
🔗 Related Topics
License to Sell, CCT, TCT, Maceda Law, DHSUD.
🇵🇭 Philippine Context
DHSUD References
- Developers must have at least a TLTS (Temporary License to Sell) before pre-selling
Building Codes
- PD 957 requires developers to complete projects within promised timelines
⚖️ Legal References
- Maceda Law (RA 6552) protects installment buyers of pre-selling properties