Pre-construction is a developer trust decision

When you buy resale, you inspect the property and check the title. When you buy pre-construction, you're buying a promise. The promise is only as good as the developer behind it.

The four hard checks

1. Track record

How many projects have they delivered? Were they on time? Did the final product match the renderings? You want at least two completed projects you can physically visit. If everything is "coming soon," walk away.

2. Capital structure

Are they self-funded or relying on buyer deposits to finance construction? Ask directly: "What percentage of construction is funded by buyer deposits?" If it's over 60%, you're carrying the project risk.

3. Permits and licenses

• Confirm the property is properly titled (Constancia Anotada)
• Verify environmental permits (Medio Ambiente) for coastal projects
• Check that the project is registered with the municipality
• Ask for the planos aprobados (approved plans)

4. Trust accounts

The developer's deposits should be held in a fiduciary account, not the developer's operating account. Law 189-11 governs these. Ask for the bank reference.

The soft checks that matter

• Talk to existing owners. Any reputable developer will introduce you to 3-5 past buyers without hesitation.
• Drive past at night. Empty pre-construction site at 10pm? Different signal than a project with active construction.
• Check social media reviews. Spanish-language Facebook groups for the area often surface complaints before any English-language source.

Common red flags

• Aggressive discounts for "this week only"
• Pressure to wire deposit to a personal account
• Refusal to put guarantees in writing
• New brand, no completed projects in DR
• Renderings that don't match the lot's actual footprint

What we do for clients

Vista Cabarete Realty only recommends pre-construction from developers we've seen close on at least one prior phase. If a developer asks us to promote their project and we haven't seen them deliver, we say no. That's the bar.

If you're considering a specific developer, send us the name and project. We'll tell you what we know within 24 hours.