What is Buying Off the Plan?
When a party signs a contract to buy a property before building has started on it or the land has been divided up, this is known as buying off the plan.
How does buying off the plan work?
The decision to acquire a piece of real estate off the plan must be made based on computer-generated graphics, floor plans, and inspection of a model show home.
The major benefit of purchasing real estate off-plan is that the purchase price is set before the structure is constructed, and buyers typically only need to make a minimal down payment. Additionally, buying property off-plan allows the buyer to potentially pay less for a house while it is still under construction, as prices have a tendency to rise after construction is complete.
Buying Off The Plan Tips
- Find out as much as you can about the developer and builder.
- In advance of signing a contract with them
- Verify the price is accurate.
- Prepare your finances so that you can pay the purchase amount at closing.
- Know exactly what you’re buying.
- Learn about the factors that might cause a home’s price to increase.