Off the Plan Apartment Purchase: A Guide to Smart Property Investment
Off the Plan Apartment Purchase: A Guide to Smart Property Investment
Are you considering investing in an off the plan apartment? If so, you’re not
alone. Off the plan apartments are becoming increasingly popular in Australia as
they offer a great opportunity to get into the property market.
But before you jump in, it’s important to understand the risks and rewards of
investing in an off the plan apartment. In this guide, we’ll take a look at what
off the plan apartments are, the pros and cons of investing in one, and how to
make sure you’re making a smart property investment.
What is an Off the Plan Apartment?
An off the plan apartment is a property that is purchased before it is built. It
is usually sold by a developer who is in the process of constructing the
apartment building. The buyer pays a deposit and signs a contract to purchase
the property before it is completed.
The Pros and Cons of Investing in an Off the Plan Apartment
The biggest benefit of investing in an off the plan apartment is that you can
get into the property market at a lower price than if you were to buy an
established property. This is because the developer is able to offer the
property at a discounted rate before it is built.
Another benefit is that off the plan apartments are often located in areas that
are undergoing gentrification. This means that the value of the property is
likely to increase over time as the area becomes more desirable.
However, there are some risks associated with investing in an off the plan
apartment. The biggest risk is that the property may not be completed on time or
to the standard that was promised. This could mean that you are unable to move
into the property or that you have to pay for costly repairs.
It is also important to note that off the plan apartments are not always
eligible for a home loan. This is because lenders view them as a higher risk
investment.
How to Make Sure You’re Making a Smart Property Investment
If you’re considering investing in an off the plan apartment, it’s important to
do your research and make sure you’re making a smart property investment. Here
are some tips to help you:
• Do your research: Make sure you do your research on the developer, the area,
and the property itself. Check out reviews and talk to people who have purchased
off the plan apartments in the past.
• Get a home loan pre-approval: Make sure you get a home loan pre-approval
before you sign a contract. This will help you to understand how much you can
borrow and what kind of loan you can get.
• Understand the contract: Make sure you read and understand the contract before
you sign it. Pay particular attention to the settlement date and any conditions
that may affect your ability to move into the property.
• Get legal advice: It’s a good idea to get legal advice before you sign a
contract. This will help you to understand your rights and obligations and make
sure you’re making a smart property investment.
At Ello Lending, we understand that investing in an off the plan apartment can
be a daunting process. That’s why we’re here to help. Our team of experienced
mortgage brokers can help you to find the right home loan for your needs and
guide you through the process.
If you have any questions about investing in an off the plan apartment or
getting a home loan, we’d love to hear from you. Get in touch with us today and
we’ll be happy to answer any questions you have and help you to get a home loan.
