THE RESERVATION CONTRACT
The first stage of the acquisition of a new property is done with the signing of a reservation contract. This contract can also be called before the contract, or preliminary contract.
This is an important step since it allows the buyer to “block” the good that interests him (the Promoter can not sell it to someone else anymore) while committing in the buying process.
This contract is extremely regulated and must include a number of mentions that are absolutely mandatory.
Thus, must be mentioned in the different clauses:
The number of rooms and bedrooms, the total area, as well as the existence or not of dependencies,
The precise location of the property in the building (or in the subdivision when it is a house),
The main features of the construction,
The description of the equipment items,
The description of the main collective elements,
The maximum date on which the final sales contract must be signed,
The estimated delivery date of the property.
The booking contract must be completed and signed by the purchaser in two copies.
A copy is then given to him, while the second is sent to the Developer for validation.
Once validated by the Promoter, a copy of the contract is sent to the purchaser. It must be sent by registered mail with acknowledgement of receipt.
By signing a reservation contract, a deposit of up to 5% of the value of the reserved property will be requested by the Promoter.
It is important to specify that this sum is deposited in an escrow account (in the name of the purchaser at a notary or in a Bank) and will be blocked until the signing of the notarized sales contract.
The signature of the reservation contract is only a first step in the process of purchasing the property, this reservation being made under two conditions precedent.
To find out more about the conditions precedent to the booking contract, see the section: see financing.