Why this happens
In fast-growing markets, some developers sell more than they can build, depend entirely on new sales to finance construction, or face permit problems. When sales slow down, the project stops. Buyers — many of them foreigners who bought from abroad — are left with a contract, payments made and no property.
Step 1: gather and organize your documents
Before anything else, build your file. The strength of any option depends on it:
- Purchase or promise-of-sale contract and any amendments.
- Every payment receipt and bank transfer.
- Emails, messages and letters with the developer or broker.
- Advertising, brochures and renders that promised delivery dates or features.
- Photos or reports of the current state of the construction.
Step 2: understand the status of the project
It is very different to deal with a project that is delayed but alive than with one that is abandoned. Check whether there is activity on site, whether permits are valid, whether the land is registered in the developer's name or in a trust, and whether other buyers are organizing. This information defines your strategy.
Step 3: know your options
- Negotiation: a formal demand can lead to a new delivery date, a substitute unit or a refund plan.
- Consumer complaint: in Mexico, PROFECO (the consumer protection agency) handles complaints against developers and can mediate.
- Legal action: civil or commercial lawsuits to demand delivery, rescission of the contract, refund and damages.
- Selling your rights: you can assign your contractual or litigious rights to a firm like Dahan Capital and receive liquidity now, transferring the process and its risk.
How Dahan Capital can help
Dahan Capital combines legal, strategic and logistical support with its own capital. That allows us to do something most law firms cannot: acquire your rights directly. You stop waiting, stop paying for a process whose outcome is uncertain and receive money on clear terms. If you prefer to keep your rights, we can lead the recovery strategy on your behalf.
We also see the other side of the problem: when a project is viable, our experience in rescue financing can help it resume — which is often the best outcome for every buyer.
Mistakes to avoid
- Waiting too long: legal terms run, and assets may be transferred or encumbered.
- Signing new agreements without legal review.
- Making additional payments to "unlock" delivery without guarantees.
- Relying only on verbal promises.
