architect builder contractor & developer

Do you know the difference between a builder and a developer?

The real estate market is not just about realtors. Within the sector, there are several other professionals and companies. And it is essential for you to know the function of each one of them. For example, do you know the difference between a builder and a developer?

Having this answer on the tip of your tongue is essential. Will a customer ask you this question during a visit or even through your website’s online chat? The realtor who explains the difference between a builder and a developer is a very well-prepared professional.

But nobody is born knowing. In fact, as the terms are very similar, it is natural that we end up confusing the two. In this sense, we developed some topics that will solve this doubt. Below, check out the difference between a builder and a developer:

What does the incorporated company do?

Behind the construction of a new project, there is a long study process, essentially carried out by the developer. First, the company identifies the need for a new residential building in a certain region.

Along with the participation of the community, real estate professionals, the developer studies the feasibility of the project and begins to design it, indicating how many square meters of floor area, number of bedrooms and spaces the property will have, as well as the average value of each unit. Then she acquires the land.

What are the responsibilities of the developer?

We can summarize that the developer is the company that takes care of the entire project of the enterprise, from the identification of opportunities to the sales of the units. The developer is also responsible for the contracts. If there is a non-compliance in them, customers must demand responses from the developer.

Normally, while the property is still in the plant, developers hire independent real estate agents and real estate agents to start selling the units. If a developer hires your services, it’s worth consulting your real estate CRM. You will probably find clients with the profile that fit this new property.

Here, you can either be interested in buying a property to live in or an investor. Anyway, don’t miss the opportunity to advertise soon to those you already know.

What does the construction company do?

Basically, the construction company is the company that carries out the civil works of the building. She participates in the entire construction process, from the first brick to the last. This includes hiring labor, machinery and construction technology.

In this sense, the developer hires a construction company to handle the civil part of a project’s project. In other words, the construction company only enters the scene after the developer takes care of the entire bureaucratic and strategic process of the project.

What are the builder’s responsibilities?

The construction company is responsible for delivering the work within the agreed deadline and leaving the project without any physical problems, such as cracks,

It is also worth noting that the construction company’s obligations include the safety of workers to avoid accidents and the payment of taxes on labor.

Builder and developer: the same company

In addition to the terms being similar, many people do not know the difference between a construction company and a developer because, in many occasions, the same company assumes both roles. This must be made clear in the social contract. As a matter of fact, large companies in the construction sector usually do this.

The positive side is that, as the developer that deals directly with customers is also the construction company, it knows how to keep them well informed about the progress of the works, for example. This makes the negotiation process more comfortable.


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