How to vet a property developer in Greece before signing a contract

Purchasing a villa or an investment project off-plan can be profitable, but it requires vetting the company before paying a deposit. Beautiful renderings and low prices do not guarantee a developer’s reliability.

Check the company’s legal status

Request the full name, AFM tax number, GEMI registration number, registered address, and representative details. Ensure the company is active, authorized to sign the contract, and that the signatory is legally empowered to do so.

It is useful to check the history of changes, owners, financial statements, solvency, and any bankruptcy proceedings. This verification should be conducted by an independent lawyer.

Examine completed projects

Ask to see built houses, not just renderings on a screen. Evaluate the quality of the facade, waterproofing, windows, pool, engineering systems, and landscaping.

Talk to previous clients. Ask if deadlines and budgets were met, how defects were handled, and if the developer remained responsive after handover.

Verify the land and permits

The developer must prove ownership of the plot or legal authority to build. A lawyer checks the land registry, mortgages, liens, and other restrictions.

An engineer must review the permit via the e-Adeies system and compare it with the plans, area, number of floors, pool, and actual work. Promises to obtain permits later increase risk.

Carefully study the contract

The contract must specify the exact description of the property, materials, equipment, deadlines, price, and payment schedule. Appendices should include plans, technical specifications, and a work schedule.

Include clauses for delay penalties, project change procedures, warranty obligations, and defect resolution. Do not sign any document without translation and review by your own lawyer.

Pay based on completed stages

It is safer to link payments to verified results: permits, foundation, frame, engineering systems, finishing, and handover. Each stage should be approved by an independent engineer.

Do not pay a large portion of the sum in advance just for a discount. All payments must be made officially and supported by bank documentation.

AILIT Group provides investors with documentation and project implementation stages. Explore MAJESTIC, Apartments for Life, and L’AURA Apart-Hotel.

Summary

A reliable developer does not hide company registration, permits, contracts, estimates, or completed projects. The investor’s main protection is an independent lawyer and engineer, staged payments, and written documentation of all promises.