“Where are the photos of the actual project?” “Is it finished yet?” Often times, these are some of the questions asked when a property is selling, yet the photos used are artistic impressions of the project as it will look once finished. The concept here, perhaps one that is not very well understood, is the concept of off-plan housing, which deals with off-plan property.
The term ‘off-plan property’ refers to property which is available for purchase before it has been constructed.
Buying off the plan is when you sign a contract to buy an apartment that is yet to be built or under construction. Consideration and decision is based on plans and artistic renderings of how the apartment shall look, in addition to information about the project and developer.
Benefits of buying off-plan property:
Lower Price: There is an opportunity to acquire a property at a current price, which is approximately 30% – 35% less than the value of the property when it is developed.
Discounts: The second major benefit for buying off-plan property is that it is often available at a substantial discount to existing property.
Easier to Own a Home: The off-plan property also makes financial sense for many. You have to pay a low deposit, and the remaining cost is payable in regular instalments.
Customized Finished Property: If you’re buying the pre-construction property at early stages, you can discuss the design and features you’re looking for in your finished property. This way, you can have a customized end product that is tailored according to your specifications.
Property in perfect condition: With an off-plan property, you are getting into the property, when complete, in its very brand new form. This makes it more energy-efficient and since it is in perfect condition, there is less cost on repairs and utility bills in the months and years ahead.
Offer buyers more time: Buying off the plan gives you a bit more time to get your finances in order, as you’ll generally only need to put down a 20% deposit to secure the contract, and can use the extended construction time to save up the outstanding balance.
In addition, buying off-plan may be the only way to get a property with a specific location or set of features as choice may be limited once construction is done.
Quick Tips on Off-Plan Property:
- You don’t need as much cash as you think.
- Off-plan is cheaper than ready property as it allows you to arrange your finances better.
- Before entering into a contract with a developer, performing a background check is essential.
- Choose your property developer wisely.
- Gain legal advice as this is crucial, particularly for first home buyers. Before you sign anything or money changes hands, have a solicitor look over all the contracts and documents.
- It’s safer dealing directly with the developer.
If you have any inquiries or comments, please feel free to reply in the comment section below. You can also checkout our available property offering here: https://buildnet.co.ug/apartments-buildnet-quality-and-affordable-housing-apartments-for-sale/
