С заботой о вашем бизнесе в Украине
Your property in Ukraine
Legal support of Real Estate investments
Ukraine is attractive for real estate investments. Experts note that this is due to the decrease in quality and affordable assets in other European countries.
Investing in Commercial Real Estate
According to experts, the Ukrainian real estate market is undervalued: there is a possibility of rent growth in all segments of commercial real estate (offices, warehouses, retail real estate), and capitalization rates create an attractive return for investors. Capitalization rates for premium assets in office real estate are 12%, for commercial real estate - 12.5%, and 12.5% -13% for logistics.
In 2018, investment transactions in the global commercial real estate market set an absolute record. According to JLL report, last year the volume of investments grew by 4% and reached its maximum level in the decade -
733 billion dollars.
Investment in apartments
In addition to investments in commercial real estate, the option of investing directly in housing remains popular. Housing prices in Kiev have traditionally remained quite high. Over the past two years, more than 5.2 thousand apartments have been acquired in new buildings in Kiev as an investment. Return on investment in primary real estate in the case of resale of apartments after entering the end of construction can reach 44% in 2 years. With a good choice of the apartment, renting out can bring up to 12% per annum.
This is a stable and reliable income that you can provide for yourself for many years.
Investment is not a gamble.
Without the support of a lawyer the risks are too high.
Risks associated with the purchase of real estate in Ukraine
To choose the best option for investment, one needs to correctly assess all the risks and make calculations for the future. Next we will consider the possible risks associated with the purchase of real estate in Ukraine.
• DISHONEST VENDOR. The seller hides from you the real reasons for the sale of real estate, the problem status of the property, other persons laying claims to this object. The seller has no legal right to sell real estate.
• ILLEGAL CONSTRUCTION. The developer does not have all the necessary building permits and the rights to land or construction are carried out with violations. Real estate or land for construction are on bail, arrest or court restraint.
• ILLEGAL PRIVATIZATION. The property was privatized illegally or the 3rd person rights to privatization were violated, which makes it problematic
• PROBLEM WITH DOCUMENTS. The purchase contract or other documents are executed illegally, with violations or errors, which causes you problems with the apartment in the future. The contract contains special conditions that make the transaction illegal or hidden conditions for not returning the deposit / advance payment, hence the risk of losing both money and the apartment.
• UNDERSTATED COST. Understating the cost of an apartment in the contract without guarantees for you creates a risk of losing money and tax penalties
Foothold.in.ua offers the following service packages
Service Pack "REAL ESTATE SELECTION"
Selection of investment options for your requirements (up to 10 objects)
Preliminary verification of the reliability of real estate objects using open sources
Service Pack "FULL CHECK" - detailed Expert Report with Recommendations
Seller / Developer Verification
• the property authority, authority to constructing
• the authority of the Seller or his representative to make the deal
• checking for injunctions, arrests and other judicial restrictions
Check of the property
• Full analysis of real estate documents, historical background of the property
• Verification of the legality of construction, the existence of judicial restrictions and injunctions
Check of purchase / investment conditions
• Verification of the construction purchase / investment scheme
• Analysis of the material terms of the transaction, identification of risks for the Client and provision of options for their elimination
• Recommendations for insurance cover for risks, obtaining additional guarantees
Signing an investment agreement
• verification of documents during the transaction
• elimination of risks (obtaining guarantees, preparation of letters of guarantee or receipts)
• Amendments to the contract, coordination of disputes
• verification of signatory authority
• visit and presence of a lawyer for monitoring of the procedure of concluding the transaction with a notary / Developer (up to 2 hours)
• monitoring of settlement of payments
• verification of documents after the deal
Service Package "PURCHASE SUPPORT"
verification of documents during the transaction
- elimination of risks (obtaining guarantees, preparation of letters of guarantee or receipts
amending the agreement, coordination of disputes
verification of authority of signatories
departure and presence of a lawyer, control of the transaction procedure at the notary / Developer (up to 2 hours)
settlement processing control
verification of documents after the transaction
Service Pack "All In"
The package includes packages "FULL CHECK" + "PURCHASE SUPPORT"
Service Pack "INVESTMENT IN CONSTRUCTION"
1. Consulting support 24/7
24/7 consulting support of the client by our lawyer during the entire period of construction until the receipt of property documents.
2. Property Verification
Check of the legitimacy of the construction and reliability of the developer. Providing a report and purchase recommendations.
3. Monthly audit of the construction
Our specialists perform monthly audit of the construction process and of the reliability of the developer.
During the audit, our lawyers:
• visit the construction site and record the progress of construction
• visit the sales department or the head office of the developer's company to carry out an audit of the relevance of construction documents and monitor changes in documentation
• conducts a review of databases in order to identify risks and negative consequences for the client
• a photo report on the progress of construction is sent to the client. In case risks are identified, we immediately inform the client about the situation and agree upon the security measures for the client’s investments.
4. Verification of contracts
• Verification of the reservation contract, introduction of amendments, approval of amendments with the sales department.
• Verification of the investment agreement with 100% investment or with installment payments, introduction of amendments, approval of amendments with the sales department.
• Verification of contracts and additional agreements that the developer proposes for signing at the entire construction stage, introduction of amendments, coordination of amendments with the sales department.
• Checking the new investment scheme that the developer offers for signing (in case of a change in the course of construction), introduction of amendments, approval of amendments with the sales department.
• Verification of the main contract with the developer if such contract is provided for by the investment scheme (for example, barter, sales contract, etc.)
5. Transfer of property to investor
Upon completion of construction and commissioning, the developer invites investors to sign the Act of Acceptance and Transfer of real estate with the further handover of keys.
During the transfer the real estate you will be accompanied by a lawyer and a construction specialist. After inspection, they will make a report on construction defects and agree with the developer to eliminate them.
6. Registration in the State Register
Our lawyer will present at the deal, check ownership documents for legitimacy and spelling errors, then turns to the registrar or notary in order to have the property registered in the Ukrainian State Register.