On Protecting Rights Of Housing Buyers Under Pre-sale System In China

Commercial housing pre-sale, it is also regarded as auction sale of commercial housing. It means housing developers(the seller of commercial housing) sell the commercial housing under construction but not finished under their names in advance to housing buyers(the buyer of commercial housing). When buyers pay for commission of certain percentage in the whole housing price agreed by both parties, the buyers can obtain promise of sellers, then sellers will turn over commercial housing of designated housing, square and geological location in one clear period, it is a law act.The housing pre-sale system in China is stared as early as in Hong Kong, it appeared in the form of selling by floor and payment by installments. After this kind of model is mature, it penetrates into mainland. Pre-sale has advantages in reducing cost, quick financing, quick capital turnover etc than completed housing. Once it appears, it is popular with market, but also causes risks such as typical quality risk, risk in overdue launch, risk of one housing sold twice, risk in rights belongings, unfinished buildings etc. In order to study the pre-sale system and protect rights of housing buyers, this paper discusses methods of reducing risk and mechanism of solving disputes, so it set up this topic study.This paper includes 3 parts:The first part makes introduction to pre-sale system of commercial housing in China and rights of housing buyers. It mainly introduces the history of commercial housing pre-sale system in China and its development trend in the representative nation(area). Meanwhile, it discusses rights of housing buyers in commercial housing pre-sale, it mainly introduces right contents that housing buyers should have, including rights to know developer qualifications and housing conditions, the right of claim to turn over qualified commercial housing as well as housing buyers accept housing and developers cooperate to make clear procedure of right confirmation.The second part makes analysis on problems existed in rights protection of housing buyers in pre-sale; it is divided into two models. The first model is common problems, which mainly involve false information disclosure of developers, contracting negligence act of developers, pre-sale format contract and articles, as well as after-sale charter risk of pre-sale housing. The second model is special problems, which mainly involve with turn-over of commercial housing, including turn-over of first-hand housing buyer to the second-hand housing buyer as well as overall turn-over by developers, turn-over again of pre-sale, secondary mortgage of mortgage loan contract.The third part discusses suggestion improvement on rights protection of housing buyers. It mainly introduces the basic form for rights protection of housing buyers, it seeks relatively worse link and puts forward to strengthen protection. As for the discussion of the previous part, it accordingly puts forward improvement measure and suggestion to improve information disclosure of pre-sale commercial housing, the applicable contracting fault liability, avoidance form contract and defect of contract item, as well as regulation on turn-over for the second time of pre-sale commercial housing.