Off the plan apartment purchase is the alternative of buying the property before or while it is being built. Despite having to wait few months or even years for the delivery, real estate investors and savvy Brisbane apartment seekers prefer to buy off the plan.
Advantages of Buying Brisbane Apartments off the Plan
There are many ways you can save from buying off the plan;
- Lower Price – Off the plan units are generally sold at a lower price than ready to move in apartments in Brisbane. Contract prices are usually discounted and are based on today’s price. You get instant savings of up to 20% of the apartment price if purchased during or before its construction.
- Reduced Stamp Duty – Stamp duties are lower before construction and increases proportionate to the completion of the apartment. So, the earlier you buy, the lower stamp duties you pay.
- Tax Savings – Buying off the plan is considered an investment purchase and you get to maximise all available tax deductions.
Buying off plan apartments in Brisbane lets you pick the best of the loot. You get the right sized apartment, on the ideal floor and on your preferred side of the building. Whether you are looking for a first floor unit with a private garden, a corner or a penthouse apartment with all the views, it is available because you’re one of the first to a pick. All the options is yours.
Ample time Organise
You got time on your side. This translates to better mortgage options and terms, more time to organise your move, and transition to your new home and lifestyle.
Option to Customise your Home
Most Brisbane apartment builders allow buyers to customise their units to better suit their needs. To a certain degree, owner design, layout, and style inputs are incorporated into the plan. Additional cabinets, specific bedroom sizes, or your choice of appliances can be accommodated. This is not possible when buying completed and ready for occupancy apartments where buyers are stuck with how the unit is sold.
Pitfalls of Buying off plan
Despite the attractive list of advantages, there are also pitfalls that buyers have to consider when buying off plan.
Delay in Completion
Completion of the project and of your home can be significantly delayed. A lot of factors – unforeseen events, project mismanagement, change of plans, or inaccurate planning can cause delay. Factor in two to three months allowance into your moving in date so as not to cause major problems to your scheduling and budgeting.
Difference in the Expected and Delivered
The delivered property could be different from what you have envisioned. The actual home could be smaller than what the model unit appeared to be. Or the finishes are substandard. Take note that perspective drawings and model units are designed to sell. Make sure that you have details of the plan so you have a better idea of what you are buying.
Fall of Real Estate Market Price
Real estate trend is generally on the positive, which is why real estate is still the most stable type of investment. But, there is always the possibility of a crash. Change in the national economic standing and political stability can adversely affect the market. Housing movements can also change the trends. Avoid or minimise investment mistakes by consulting with your local real estate experts.
A lot could happen to you from the signing of contract to the delivery of your home. You could have gotten married with a child on the way, or divorced seeking for a smaller place. You might have taken in a pet or found your life’s passion away from the city. You could change careers or have to relocate for better opportunities. In short, you might not need your apartment by the time it is ready.
With new apartments rising around the city, buying off the plan apartments in Brisbane is a popular choice. It offers a huge range of advantages and investment opportunities. But before you enter into a contract, make sure that you recognise all the disadvantages and is aware of all the implications.