Off-plan property is the property which is present before a structure is constructed. The absence of a structure renders a lot of buying potential for the investors in terms of its prices. Such kinds of properties are known as developments. They are marketed by real estate developers. Investors and speculators purchase such property in order to get good capital profit in return. Off-plan properties are often considered a lucrative investment if there are a lot of infrastructures present in the nearby area. There are many benefits associated with off-plan property and some of them are listed here.
Lower Purchase prices
The number one benefit of buying off-plan property is that it will have a cost below market value. Sometimes property dealers even throw in a little bit of discount if the investor is interested in buying more than one property. These properties are marketed by real estate developers to be sold at comparatively lower prices than the current market rate. This is why there is a lot of profit in return for the investment.
The annual growth rate affects the capital value of the off-plan property. It is due to the fact that once a property is bought at a lower price will increase in value due to the appreciation rate going up. It is also called the house value which is at a constant growth. These properties are under construction for a few years and have been bought at lower rates but once they are completed their value has increased afterwards. Therefore, this strong growth trend is also a big reason to invest in off-plan property.
Resell at profit
The biggest reason for eliminating the intrinsic flaw in capitalism is perhaps the option of off-plan properties being resold. These properties are resold at profitable rates with the appreciation value included. The original value increases sharply but if the investors aim to abandon this investment for any reason the option is available. This feature makes off-plan properties a flexible investment agreement that you can get out of whenever you need to. However, it has to be ensured that you have made the agreement with the developers regarding reselling or buying back. If that is in place then the property will be sold even before its construction has been completed.
Flexible investment plan
Off-plan property investment plans are designed by the experts of real estate development whose sole purpose is to ensure profit for the investors. The real estate speculators make easier investment plans with periodic payments and small down payments to buy the property. This itself is a big discount for anyone who is interested in real estate investment. This way the investors are able to buy property without making a huge deposit. Making an investment gradually over the years is better than making a huge investment in one go. It is not only logical in terms of spending but also decreases the risk factor for the investor. Therefore, this makes investing in off-plan property pretty much risk-free.
Flexible payment for residents
There are two types of people who buy off-plan properties. One is the investors who buy these properties in order to resell them for capital gains. The other is people who want to buy them and make their homes. In Pakistan, some people also buy off-plan properties to earn rent as well. If you are clear about which category you belong to then you can go for either one as your aim. In Pakistan owning a house is a very important factor and has been deemed as a poverty and prosperity index as well. The off-plan property offers a good opportunity for the public to own their house.
Choice and variety of property units
Off-plan property has a lot of great options and the investor can choose from them. These properties are usually high-rise buildings with hundreds of apartments, it gives a greater degree of choice to the buyer. This factor also gives a lot of ease to the seller since the property dealers have a lot of options to offer. As an investor, you will be given a huge inventory listing a great number of property units.
The real estate property business has always been a lucrative business all over the world. The housing market is still very much deficient in reality in terms of providing an adequate number of housing and even commercial units. In a weak economy real estate has been offering stability options. Off-plan properties are also a part of that plan in order to provide you with a sustainable solution to your problems. Whether you want to seek rent, buy a house or invest for capital gains, off-plan property is the best option available to fulfil all your aims.