Buying Off The Plan
While buying-off-the plan may be a new concept for many newer investors it is frequently the preferred option of experienced and savvy investors.
Buying off the plan, as the term suggests means buying and reserving investment property in
This scenario allows those buying investment property to secure brand new homes,
apartments and townhouses at today’s prices and enjoy rising values and widening equity
positions before needing to complete and come in with the balance.
The tax benefits of choosing newly built properties are also significant, especially in terms of
greater depreciation which translates into higher net returns.
The lead time between contracting to acquire off plan properties and completion provides
investors with additional time to find and secure a tenant before interest begins being paid for
those using financing; creating cash flow from day 1.
However, those not keenly tuned into the property clock in their region and local area or
apprised of the relevant due diligence can set themselves up for poor returns or even
negative equity upon completion. The ramifications for timing the market incorrectly with off
the plan investment property can be significant. Your risk factor must be taken into account
before entering into an off the plan investment otherwise your portfolio growth strategy could
be set back by years.
Whilst it can be very inviting to buy using a glossy brochure, some impressive images and an
idea of grandeur by the developer, you must make sure that you have covered all bases
before proceeding with an off the plan investment property.
PPI can be your resource for pre-screened, vetted, fiscally responsible builders and
developers with off the plan opportunities throughout Australia, which are perfectly timed for
PPI’s coaching clients have access to resources and support when buying off the plan to
ensure a smooth transaction and positive investment result for you.