Buying off the plan can be a lucrative way to enter the real estate market. However there are both advantages and disadvantages to buying off the plan and the team at Invetec Property aims to help investors and every day Australians to ensure the best possible deals across Australia. The perks also include, the option of handpicking everything for the house for example the floor plan, the colour scheme, the design of the stair case, the way the garden looks, having an open kitchen and positioning the lounge at a specific favorite spot and so much more.

Other benefits include:

✅ Locking in a price for future capital growth
✅ Low initial outlay of capital to secure an asset (as little as 10% can secure an off the plan apartment) Stamp Duty savings (ask us about it)
✅ Tax Savings (with possible new changes to negative gearing, brand new property could be the way to go) Capital growth
✅ Building grantees ( up to 7 years)

Points to consider in Details:

✅ The time period you can actually buy yourself from paying a portion of the total amount untill the completion of the entire property, is valuable in many regards.

✅ Another important factor that investors often tend to ignore is the fact that you are actually paying for the current market price of the property and by the time that property is fully constructed and price fluctuations can occur. But if the investment is made smartly and the property does increase in price, you can eventually sell it at that current market price and use the windfall as equity or cash to purchase other properties

✅ In countries like Australia, you can actually save up a substantial amount of money because based on your location, you might be eligible to bonuses and stamp duty reductions. This means that stamp duty reductions can save you up thousands of dollars.

✅ Claims can be made to depreciation on taxes on items that include fixtures and fittings. A decreased tax can help you either save up the money or alternatively use the same money to be invested on your home to make it even more beautiful

✅ If for say there are faults in your new building which need repairing and your new home isn’t seven years old, you can ask your builder to repair it for you as newly built properties in Australia have a 7 year builders guarantee. Structural or building faults are also covered in this guarantee

✅ One thing that you need to consider especially is the ‘sunset clause’ in the contract. Most of the developers do try to complete the in the shortest amount of period but can you wait the entire sunset period if you had to? This can be a real pain if the contract prohibits you from selling the property before settlement, hence you need to consider the sunset clause prior to the construction. As mentioned above, all of these pros for buying a property and reaping the profits that it yields is a very fruitful prospect however buyers must be aware of the potential risks :

✅ One of the major risk that you can be subjected to is the decreasing price of the property. Let’s say you buy an off the plan property and prices fall due to market conditions, you could potentially face losses

✅ Dodgy building work
✅ Bankruptcy of the developers

Investec property can help investors to find the right off the plan investment properties and have helped hundreds of Australians in buying off the plan properties.

If you like to find out more, then Contact Us