How to Check a Developer Before Buying

How to check a developer before buying 🏗️

Buying property or investing in real estate in Georgia is exciting but requires careful checks. This guide walks you through practical steps to verify a developer and reduce risks before signing or paying.

1. Company registration and permits ✅

• Ask the developer for official company registration documents and identification of principals.
• Confirm they hold the necessary permits for the type of construction they are doing.
• Cross-check names and company details in public registries to ensure transparency.

Why it matters: clear registration and transparent ownership make it easier to resolve disputes and reduce fraud risk.

2. Past projects and construction quality 🏢

• Review completed projects: request photos, visit completed sites where possible.
• Ask for references — contact actual buyers to learn about construction quality, timing, and after-sales service.
• Look for visible signs of craftsmanship: neat facades, consistent finishes, properly organized site.

Tip: Request handover documents from past buyers to see how the developer handled delivery and defects.

3. Land title and permits 📑

• Verify land ownership, restrictions, and any encumbrances that may affect the project.
• Check that building permits are issued for the specific project and that necessary approvals are in place.
• If purchasing off-plan, pay special attention to permits and stage-by-stage authorization.

If documents are incomplete or unclear, consult a local lawyer before proceeding.

4. Financial stability and payment plan 💶

• Ask how the project is financed: developer equity, bank loans, or buyer prepayments.
• Avoid arrangements that require large upfront payments without transparent safeguards.
• Get a clear payment schedule tied to construction milestones and documentation.

Safer approach: staged payments after verified completion of construction milestones and signed acceptance certificates.

5. Contract, guarantees and deadlines 📝

• Carefully read the contract: delivery dates, penalties for delays, warranty terms, and handover conditions.
• Ensure all critical details are specified: usable area definition, finishing level, inclusion of utilities.
• Prefer contracts that can be notarized and translated so terms are fully understood.

Advice: have the agreement reviewed by a qualified lawyer experienced in Georgian real estate law.

6. Independent inspection and technical check 🔍

• Hire an independent building inspector during construction and upon handover to identify hidden defects.
• A technical report provides leverage for negotiating fixes or withholding payments until issues are resolved.

7. Reputation and reviews — use them wisely 📣

• Read reviews, but balance online opinions with on-site visits and direct conversations with neighbors and buyers.
• Prioritize firsthand information and official documentation over unverified online praise.

8. After-sales service and running costs ⚙️

• Clarify who will manage the building after completion and what typical maintenance costs to expect.
• Ask about warranty response times and how complaints are processed.

Practical checklist before signing ✅

1. Obtain and verify core company and project documents.
2. Visit project sites and speak with residents or past buyers.
3. Have a legal review of the purchase contract.
4. Order an independent technical inspection for peace of mind.

If you’d like professional help checking a developer or finding reliable properties in Batumi and across Georgia, our team at BuyHome can assist. Start your search or contact us: https://buyhome.ge/en/search

Contact us for a friendly consultation — we’ll help you choose the right property.