Six questions you should ask every real estate party

Trust is the foundation of every investment. But trust must be earned, not given. Whether you are investing with us or with another party, these six questions will help you get a clear picture of who you are doing business with. A reputable party will answer them without hesitation.

1. Do you invest your own capital?

A party that puts its own money into a project shares the risks you are taking. This says a lot about the conviction behind a project. So, ask whether the initiators are participating themselves, and in what proportion.

2. How is a project vetted before it is presented to you?

A serious party does not move forward with every project. Ask about their criteria. Consider location, market demand, cost estimates, planning, and legal certainty. At Dutch Value, every project undergoes six checks. If it fails to convince us on any of these points, we walk away.

3. What is contractually guaranteed?

Verbal promises are worth nothing when things go wrong. Ask exactly what is in writing. The return model, the term, the method of payment, any collateral, and your rights as an investor. Preferably, have this documented by a notary.

4. What happens if things don't go as planned?

Every project carries risks. The question is not whether something can go wrong, but how a party is prepared for it. Ask about buffers in costs and timelines, sensitivity analyses, and alternative exit strategies such as renting. A party that claims there is no risk deserves extra critical questions.

5. How will you be kept informed during the term?

After signing, the period begins where you need to be able to rely on good information. Ask how often you will receive reports, what they contain, and whether you can get updates in the meantime. We report every quarter, and you can also request progress updates at any time.

6. Who am I dealing with?

Behind every structure are people. Ask who makes the decisions, what their experience is, and how the company is legally structured. A party that is open about its people and its structure has nothing to hide.

The core

Asking good questions is not a sign of distrust; it is due diligence. A reliable party will appreciate that. Take your time, ask follow-up questions, and involve your own advisor. This is how you make a decision you will still stand by in five years' time.

Would you like to ask us these questions? Schedule a personal meeting, and we will be happy to answer them.