Buying a property as a foreigner can be daunting at the best of times despite becoming familiar with Mauritius as a holiday maker and even if you have friends offering to assist with the process. The truth is, every property development has its own characteristics and inherent risks. Here are 4 important things to look out for to ensure 100% peace of mind. Horizon Properties’ experts answer all your questions…
1. Get into the detail on specifications and finishes
In some cases, the finishes you expect on completion of your unit, may not match the ones the developer has intended to deliver. This may be a simple misunderstanding, but could also be overselling from the developer. Ask the developer for a detailed finishes schedule which correctly describes all that will be delivered in every room, including bathroom, living areas and common areas. Are you getting “Miele” high-end appliances, or middle range Samsung? What are the specifications of your tiles? What wood is being used for your doors? Is your decking made from renewable sources? All questions you’d like answered upfront, in order to avoid unpleasant surprises on taking delivery.
2. Obtain your “Completion Guarantee” or GFA
Because of the inherent risks associated with buying off-plan, the Mauritian government has made it mandatory for all property developers to obtain a completion guarantee or “GFA” (“garantie financière d’achèvement” in french) from a reputable bank in favor of their buyers before selling their off-plan developments. The GFA is a contract accompanying the deed of sale, and given to buyers by the bank at the time of signature. It guarantees the completion of the project to the buyer, no matter the circumstances that may. Banks guarantee the completion projects this way once they’ve reviewed the developers’ business-plan, and ensured the project has achieved a breakeven level of sales, that it’s led by a reputable professional team, that the developer is using a financially sound builder, in addition to having all the necessary authorisations and permits. Although most developers will not carry out business without a GFA, ensure that your developer is able to produce one, and contact the issuing bank with any questions you may have.
3. Get it in writing
If your project includes beach-club access, pool memberships, various accesses and privileges, ensure that you get all these in writing, have them vetted by a legal advisor if possible, and ascertain that what was promised verbally or by email is in fact what is in the fineprint. Often, due to the amount of work that developers have to cover, things like tying up the finer details of contracts to the various advertised facilities and services can be overlooked and often left open to interpretation, therefore not tied down as they should. Giving these a good look before committing to the project could go a long way in ensuring that what is advertised, is properly laid out in contracts between the various parties. If it’s not in writing, it’s potentially not going to happen.
4. Visit previous projects
Ask your real estate agent if you can visit previous developments delivered by the same developer and if possible, meet someone senior from the development team that can take you for a full visit including some units that may be under rental management by their appointed management company. Visiting previous developments will give you a good idea of what to expect in real life. You’ll also get to know what type of company you’re dealing with by meeting their team. Ask for levy costs as well as check for reviews on booking sites such as booking.com to see how the property is managed and what it is like to stay at as a guest.
For more information on real estate projects available for sale, feel free to get in touch with Horizon Properties: Sebastien Bax de Keating (+230) 5 255 33 33 and Manon de Maroussem (+230) 5 976 05 03
