[hojinkoh]

In the city I'm aspiring to buy a house (a.k.a. somewhere near Tokyo), you only need to put the down payment if the construction hasn't finished yet. There will be no mortgage until after the house is ready.

I kind of think this may be a slightly better model in terms of homebuyer protection... (May not sound good for the developer though)

[ManuelKiessling]

When a flat I‘ve bought in Germany was constructed, the payment to the developer happened „Zug-um-Zug“, that is, they received a total of like 7 payments as the development reached certain milestones.

Had to take the whole mortgage up front in one go, though.

[seanmcdirmid]

In the USA, you obtain short term high interest financing until the home is completed, then you spin that into a mortgage. Most people buy almost completed new homes from developers, however, which means the developer takes that initial loan/risk.