Buying a property 'off-plan' – that is, before it has been built – can be an attractive proposition for many investors. It often allows buyers to purchase a property at a lower price than they would if they waited until it was completed. However, it also comes with a unique set of risks.
The primary advantage is the potential for capital appreciation. As the property is constructed and the surrounding area develops, its value is likely to increase. Early buyers often see the most significant returns. Additionally, buying off-plan gives you the opportunity to customize certain aspects of the property, such as finishes and fixtures.
However, the risks must be carefully considered. There can be delays in construction, and in some cases, the final product may not match the initial plans and marketing materials. It is crucial to conduct thorough due diligence on the developer, their track record, and the legal agreements in place before committing.