Many investors have found that purchasing off the plan properties is a terrific way to enter the real estate industry and advance their careers. So why go off course? Let's look at a few of the reasons why purchasing on a payment plan might be the best option.
Positive Price
When you purchase off-plan, you are essentially buying based on a brochure and the developer's assurances. In many ways, there is a degree of danger that is not often present if you were, example, buying a ready property because there is no tangible item there for you to see and touch. As a result, the cost of an off-plan property is typically less than the cost of a ready-to-move-in property.
A lot of off-plan purchasing opportunities are found outside of the real property in new and developing neighborhoods. Investing in such communities early on offers a lot of opportunity for capital appreciation, which takes place when these communities begin to take shape and mature. As a result, savvy purchasers can purchase a home with a lot of room for growth at a reasonable price.
Better Option
Choosing the best apartments or villas in a specific development is possible for customers who purchase early in a recently released off plan property. This significantly improves your chances of getting the best return on your investment.
Purchase Off Plan Is Simple
The simplicity of purchasing a brand-new off-the-plan home is one of its main appeals. There is no need to conduct numerous viewings, pay for property inspections, and endure the conveyancing process, which may occasionally be very trying. Selecting a unit from the project brochure is all that is required before signing the sales and purchase agreement. It really is that easy.
Potential for Customization
Purchasing a brand-new home gives you some modification options. Depending on the type of property, this may entail having the opportunity to select the color palette, the complete floor plan, as well as the overall appearance and style of the building.
Ability Sell Before Completion
Property buyers who purchase off-plan homes have the option to resell them before a project is finished. If the market has done well and the project has proven to be popular, owners can frequently sell at a sizable profit. Given the absence of capital gains tax in Dubai, this might be a very alluring and lucrative alternative for many investors.
Relaxed Terms and Payment Schedules
When compared to ready properties, off-plan properties have substantially cheaper upfront expenses because they provide payment options. Payment plan length and terms can and do differ from developer to developer and are typically correlated with how long the building period will last. The initial investment required is quite modest because some developers only ask for a 5% down payment, with the remainder being credited toward construction. For purchasers who just lack the 25% deposit payable with a ready property, this provision is fantastic.
You CAN finance an off plan property
While it might surprise some, it is definitely possible to obtain a mortgage for an off-the-plan property. The main banks will gladly lend up to 50% of the purchase price of the property, provided that the developer from whom you are purchasing has received their approval. These are just a few of the benefits of buying off-plan, but it should be noted that, like with any investment, not all off-plan projects are worthwhile. There are certainly excellent projects on the market, but there are also undoubtedly some subpar projects that lack the aforementioned advantages. To make sense of everything and guide you in the correct direction, it always pays to do your research and get the assistance of an expert in off-plan properties.