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Ways to check delays in a real estate project

A construction project when started is set with an original schedule and a completion date, but most of the time it ends up being delayed. There are various reasons because of which a construction project is delayed. Perhaps most of the construction delays can be prevented and planned properly for the set date. There are various other factors which are inevitable and lead to a construction delay. One of the important aspects before a construction starts is to maintain the construction schedule in order to stay on budget and complete it on time.

However the project delays in real estate have become very common. As per the graphs, there are about 70% projects which were delayed from the actual date of completion in the year 2011. Most of the projects are running behind the schedule by many months. In such instances it becomes very complicated for the home buyers to check any potential delay in his/her project.

Project delays have become a nightmare to most of the home buyers as they will have to wait for years. Most of the builders have an array of clauses for the delay. Also most of them pay their home loan EMI even without getting their home possession and other issues like building plans being changed midway through the construction, or common facilities falling short of expectations arise.

The causes for the project delays:

Improper planning:

In most of the cases, the construction projects are delayed due to the improper planning of the project. It is very important that a builder should plan beforehand about the project he is going to launch. Both the customer and the contractor will be responsible for a proper planning. It is very important that the contractor should schedule a sub-contractor for a project on time and if delayed, the schedule will be delayed too. Also in most of the cases items of the contract are inaccurate and are omitted unintentionally. This will apparently lead to the delay of the supplies on time and the contractor will have to wait until he gets hold of all the supplies. Another reason for the delay is due to the customer’s unstable decision making. Since there will be various options, the customers will be confused between the choices which will again lead to a delay. Also the back-orders and failure to place orders on time will cause a delay in the project and schedule.

Deficiency of Workers:

Most of the times it happens that there are lack of workers in many projects. The contractor or the subcontractor is short of workers which eventually lead to a delay. There are various problems which a worker and a contractor face while working on a project. Also due to the lack of workers, there will be very few workers who will be employed on the same project which also leads to a delay. Most workers also do not show up to their work in case they find another preferable job. Also the subcontractor might not be regular to his job causing a delay in the job.

Waiting for Approvals:

There are various approvals before the start of any construction which should be approved by the concerned people. In most cases, the approvals are ignored and delayed. Most of the contractors fail to obtain these necessary documents. Also in most cases the contractors have to wait for the city inspectors to perform routine inspections before starting the work on the project. In case there are minor errors through the inspection, the contractor will have to wait till they are set right.

Other external factors:

As mentioned earlier, there are various external factors responsible for the project delay. This involves poor weather conditions like rains, tremors, landslides and so on. Also scarcity of water, sewer problem and other factors also lead to a project delay.

Ways to check project delays:

The authentication: It is very important that a property buyer should check the relevant documents and the authentication of the project from the builder. The buyer can visit the developer’s office to check the authenticity. Documents like the land ownership detail, land being approved for residential development, project clearance and layout approval, environmental clearance and others should be checked thoroughly. The most important documents are the sanctioned plans. If the sanction plan is tested while signing the deal, the buyer can confidently go ahead with the builder. All of these documents should be scrutinized well before choosing a developer and signing a deal. Also the property buyer can file an application to the PRO of the authority in order to verify the land title, approved building plan and the completion certificate of the property. All of these procedures should be carried out in the earlier stages.

Opt for an online group:

It is always better that the home buyers should be a part of an online group. In case if the regulator is absent being a part of the online group will safeguard the interest of the home buyers. There are various online groups like Yahoo, Google and many more wherein one can either state a group or join an existing one. Doing this will help the home buyer to share his/her concern among members and get the right deals.

Go in for a construction linked payment plan:

One of the most important steps to minimize the risks attached with a delayed project is to go in for a construction linked payment plan. It is advisable for the home buyer that he/she should opt for a CLP at the time of signing a document. Although this plan is a little expensive, but is best suited for the property buyers.

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