In addition, bank loans are hard to come by. There are many reasons for this. One, real estate promoters usually have very little security or collateral to offer. Tying repayment of loan to apartment sales is risky because there are no certainties that all inventory will get sold. Two, on past projects, builders have to hand over ownership to people who have bought the properties; this restricts builder’s ability to mortgage an existing property to finance an on-going project. The builder can offer only land as security, but because it’s a fraction of total project cost (albeit a major fraction, but ownership of which is typically wreathed in complicated legal structures), bank loans are also a fraction of total project cost.