AZE.US
Buying an apartment at the foundation stage in Baku may look like a smart way to save money, but experts warn that such deals can create serious problems for buyers later.
These sales are widely advertised on social media and property platforms, often with the promise of lower prices compared with finished apartments. For many buyers, that makes off-plan housing attractive. But the lower entry price does not mean the deal is safe.
According to Vugar Oruj, head of the Appraisers Society of Azerbaijan, the sale of property without official registration and ownership documents is not legally secure. In practice, many developers begin selling units long before construction is completed in order to raise financing for the project.
At that stage, buyers usually sign an agreement directly with the construction company. But that document is often not notarized and does not establish actual ownership rights. It is essentially a promise: the buyer pays in advance, and the developer undertakes to deliver the apartment after construction is completed.
That is where the biggest risk lies. If the company fails to meet its obligations, delays the project, freezes construction or does not hand over the apartment on time, the buyer may be left with a lengthy dispute and no real property right to enforce.
Oruj says there have already been many complaints to law enforcement agencies from people who paid for apartments at an early stage but never received what they were promised.
There are also quality and specification risks. A buyer may pay in advance expecting one thing, only to discover after completion that the apartment is smaller than promised or that the finishing work falls below the expected standard.
Experts say buyers should not rely only on advertising or a company stamp on a contract. Before paying any money, they should examine the developer’s track record, review past projects, check for delays or legal disputes, and demand documents proving the company’s rights to the land and the legality of the construction.
If there is any doubt, legal advice is essential. Specialists say a safer market would be one in which apartment sales begin after construction is completed and the legal status of the property is fully clear.
For now, however, buying from the foundation stage in Baku remains less a guaranteed property purchase than a bet on whether the developer will keep its word.