Buying off-plan property is one of the most exciting and potentially lucrative forms of real estate investment. But like any investment, it’s not without its pitfalls. So, how do you make sure you’re getting the best deal? Here are our top seven tips.
1. Do Your (Own) Research
Knowledge is power. This is particularly true in the world of off-plan real estate. Familiarise yourself with the market, the developers, the location, and the potential for capital growth. Websites like the Savvy Investor Guide are gold mines of valuable information. We are happy to present our chosen selection of projects on our website, and are confident that our due diligence will help you make an informed decision.
2. Know What You Want
Have a clear idea of what you’re looking for in an off-plan property. This could be anything from a holiday home in the sun to a city centre apartment for rental income. For instance, if you’re considering property sale in Northern Cyprus, you might have specific requirements regarding location, view, and amenities. This is a really vital point, if you are not sure of what you are looking for, the market can be overwhelming in places – there are lots of developments and projects out there, if you can let us know what you are looking for, we can help point you in the right direction!
3. Negotiate Price and Payment Terms
Just because it’s off-plan doesn’t mean the price is non-negotiable. Prices can often be flexible, particularly in the early stages of a development. Additionally, look for favourable payment terms. Some developers may offer instalment plans or other financing options. If you are considering making multiple purchases within one development, or over a series of developments (which can be a good idea to diversify your investment property portfolio), you are in a strong position to bargain with the developer.
4. Get Legal Advice
Getting legal advice is crucial when buying investment properties. Make sure your lawyer reviews the contract thoroughly to protect your interests. At the Savvy Investor’s Guide we suggest you use your own lawyer to handle the contract stage, whilst we are happy to recommend lawyers we have used successfully in the past, you are encouraged to Do Your Own Research (DYOR) and be satisfied yourself that the lawyer you are using is acting in your interests. If the developer you have chosen wants you to use their lawyer, it may be a red flag!
5. Check Developer’s Track Record
Examine the developer’s past projects and their reputation within the industry. Projects like the Aqualina Residence offer a glimpse into what you can expect from a reputable developer. We only work with proven developers with a long track record of delivering successful projects.
6. Consider Future Developments
Consider the potential for future developments in the area. Will there be a new school, shopping centre, or transport link that could boost property values? Our comprehensive analysis of emerging real estate trends could help you make an informed decision.
7. Be Prepared to Walk Away
Don’t be afraid to walk away from a deal if it doesn’t feel right. There will always be other opportunities in the exciting world of off-plan property investment.
Conclusion – What do We Think at the Savvy Investor?
Navigating the waters of off-plan property investment can be a challenge. However, if you follow these tips, you can ensure you’re as well-equipped as possible to negotiate the best possible deal. Remember, the key is to do your homework, understand your needs, and always be prepared to walk away if the deal doesn’t meet your expectations. If you need any help or assistance with property investment, do reach out and we would be delighted to assist you. If you have any comments or thoughts on this post, or the website in general, please feel free to enter them below – we would be delighted to hear from you. If you want to be kept up-to-date on the content on the Savvy Investor’s Guide website, consider subscribing to our newsletter!
FAQs
1. What is off-plan property?
Off-plan property refers to real estate properties that are available for purchase before they are constructed.
2. Why invest in off-plan property?
Investing in off-plan property provides potential for high returns, especially if the property value increases significantly from the time of purchase to the completion of the development.
3. How can I ensure the developer is reputable?
Check the developer’s track record, ask for references, and visit their previous projects. For example, you could look at the Aqualina Residence, or the Bahamas Homes. If you are after something a little more unique and individual, we have a few building plots available above Karaağaç near Esentepe where you can let your imagination run free 🙂
4. What should I look for in an off-plan property contract?
Ensure the contract includes a completion date, details of the payment structure, and a description of the property, the materials used and the additional costs that might be involved. Additionally, it should cover what happens in the event of a delay or if the project is not completed.
5. Can I negotiate the price of an off-plan property?
Yes, prices can often be flexible, especially in the early stages of a development. It’s always worth negotiating to try and secure the best possible deal. Multiple unit investments can also lead to an advantage in the “haggling” stage of the discussions!
Now that you’re armed with these tips, you’re ready to negotiate the best possible deal on your off-plan property investment. Remember, the key to success in real estate investment is due diligence and informed decision-making. Happy investing!