Buying off the plan can be a great move for some security in your investment. It has advantages such as locking in the NOW price (and pay later), as well as a number of tax advantages.
Off the plan properties are a great solution for investors or buyers who need time to organise their finances. Here are some “do’s” and “don’ts” to ensure you purchase successfully.
Do your research to find out growth and expected yields of off the plan apartments you are interested in. Also make sure you find what is tax deductible and their implications, as well as the government incentives on offer.
Do register on project agencies’ databases
Sales people will always first speak to the potential buyers who are the easiest to contact. People on project marketers’ databases often get the first opportunity on available apartments.
Do act decisively
Usually the first third of the project is sold, not only to members of agencies databases, but also to buyers who act quickly. Obviously the apartments with the best aspects and most desirable features are sold first.
Do understand the value of time
Generally, property prices gradually increase annually (and occasionally dip in value). Don’t panic – over time your investment will serve you well.
Do buy in the areas people want to live
The top three priorities people have for choosing somewhere to live are proximity to schools, work and transport. Some other things to consider include access to shopping centres, recreation facilities, parks, cafes and restaurants.
Don’t buy without having your solicitor look at the contract
It’s important to choose a solicitor who understands and is experienced in off the plan contracts.
Don’t expect the agent/developer to wait for you to organise your finances
Most banks will not give you an approval for more than six months before completion. Just get an indication from your bank that you will be Ok, and then go for it!
Don’t distrust your agent
Your agent wants to do the right thing by you, and will encourage you to get in early and grab the apartment you want!
At Dougmal Harcourts we have many off the plan apartments available, as well exciting new projects in the pipeline. Give us a call to register on our database, or visit our website to see what is currently available.