2009 top ten news

Top 10 real estate debacles 2009

(chinadaily.com.cn)
Updated: 2009-12-18 11:10

5. Developer sues buyer for ‘forcing down payment'

Top 10 real estate debacles 2009
The developer of one section of this residential site is suing one of the people who bought property from them, claiming he forced them to make the sale. The buyer says the developer is simply regretting making the sale so early, as real estate prices have since increased.

Four years ago Chen Jianhua paid about 80,000 yuan down payment for an apartment with a price of 1,850 yuan per sq m in Jieyang city, Guangdong province.

The deal in the end brought him a lawsuit rather than a new apartment. "The developer of the building sues me and accuses me for forcing to buy an apartment from them. Now the developer wants the court to declare the contract void," said Chen.

According to the Civil Indictment of the developer, Chen insisted on paying 78,556 yuan to the developer even though he knew the building he wanted was not ready for sale. "He forced us to take the money," said the developer.

"The price of the apartment I bought now must be doubled," said Chen. The rise in the price of housing is the main reason behind the lawsuit, according to Chen.

The case will go on trial in Jieyang city on Dec 29.