Discuss On The Protection Of The Pre-buyer's Rights In The Pre-sale Of Commercial Buildings

Pre-sale of real estate means the developer pre-sells the real estate under construction to buyers, buyers pay an amount of deposit or purchase price, and the delivery of the real estate is to be made on an agreed future date. The system of presale of commercial residential building has been established and developed under a serious shortage of supply of commercial residential building and lack of construction funds, The system of pre-sale of commercial building can help people realize their dreams that householder can own their house more conveniently .to seller, the pre-sale can accelerate the tour-over of capital; to buyers, it can ensure them obtain their house in the future in lower price. So, it plays an active role in improving the house condition and prospering the real estate market. On the other hand, because of its own defects and the imperfection of the laws and weak presale management, the system also results in some question, such as unbalance of rights and duties between buyers and sellers and almost all risks burdened on the banks or buyers, which affect the development of the entire real estate market. So it is necessary to discuss the issue. This essay is composed of three parts.The first part is the introduction to the basic theory and problems of pre-seal of commercial buildings. Pre-seal of commercial buildings is a transaction with much capital, long cycle and big risk, concerning many legal relations and is easy to arouse disputes. Though equal as the two sides of the pre-sale contract, there exists great disparity between pre-seller and pre-buyer in terms of transaction information and economic power. Therefore the pre-buyer is in disadvantage and vulnerable to injury from the pre-seller. In practice, the rights of the pre-buyers are injured again and again, which expresses the legislative lacks and problems. As one of the means of commercial buildings selling, Pre-sale of commercial buildings is the selection of market, and have positive effects on real estate. The system of pre-sale of commercial buildings should be banned or not, it is the selection of the market, and we should get the real cause of the issue. There are a large number of dishonesty, breach of contract, infringement in the process of pre-sale commercial buildings, to a large extent these problems should be attributed to inadequate laws and lack of supervision of pre-sale commercial buildings, the pre-sale of commercial buildings system itself is not the real cause of these problems. China's real estate financing channels is single, so the pre-sale of commercial buildings system is reasonable and advantageous. We should improve relevant laws and administrative regulations to strengthen the constraints of the developers act in order to improve our country Pre-sale of commercial buildings system and to avoid its negative effects.The second part is the analysis on the protection mechanisms of pre-sale of commercial buildings. It concerns many laws, so it should make comprehensive use of civil law, economic law, administrative law and other means to achieve the goal of protecting the right of the pre-buyers. I focus on analyzing the means of perfecting the pre-sale of commercial buildings contract.In the third part, I put forward some suggestions on how to solve the problems and perfect the system. I notice the limitations of the protection of the existing legal mechanisms. Firstly, the system of presale contract registration should be perfected to protect the rights of the buyers and avoid that one house is bought by more than one people. Secondly, establishing a strict access and withdrawal of the presale market is necessary to prevent incompatible or discreditable real estate enterprises from entering the presale market. Thirdly, it is necessary to establish the system of supervision to ensure a fund for its special purpose and prevent real estate enterprises from diverting fund. Fourthly, establishing the strict system of information disclosure to make related information transparent and available to the public and ensure the buyers to make rational choices. Finally, establishing and improving the relief mechanism of rights and interests to ensure the timely and effective relief available for the buyers.