Legal security of investors in the process of financing housing construction in Ukraine and some European countries

Abstract

The purpose of the article is to find mechanisms that would guarantee the protection of investors’ rights in the process of housing construction. Methodology. In the process of conducting the research, the following methods were used: theoretical generalization, grouping method, methods of dynamic, statistical and comparative analysis, comparative method, method of structural and logical analysis, calculation and analytical method. Research results. The works of scientists who studied the problem of risks associated with investing in construction were analyzed. A comparative study of investor security in France and Germany was conducted. The legislation of Ukraine on this issue was examined. Practical implementation. It was determined that in order to prevent the misuse of funds in housing construction in foreign countries, there is a mechanism for attracting funds by opening escrow accounts and transferring funds from them to the developer. Value/originality. It was proven that the use of escrow accounts in house-building can become an effective mechanism for protecting the rights of investors in Ukraine.