Off Plan Property
Sometimes known as pre-construction, real estate off-plan property purchases can serve as a great way to invest in international real estate. Overseas property investors can help you with profits once the project has been completed, but, like most investments, it is important not to let the prospect of earning money on discounted off plan properties get in the way common sense.
International Real Estate Investors be prepared and ask some question before committing yourself to an off plan property development.
Get sensible and put the developer to the test:
* What guarantees do you have that the developer would not go under or this project would not go under?
* Will my deposit be placed in an Escrow Account?
* Research the building company, what work have they done in the past
* Has the builder secured planning permission and local permissions for the project?
* Are there any legal safeguards for foreign investors in the case of non-completion or poor construction work by the developer?
* What if you decided to sell before completion of the project, would that be possible and would I be penalized in anyway?
* How easy is it to buy and sell property in this country?
* What if I decide to sell my off plan property ?
* Are there any other fees while the project is being built and what about after completion?
* What do you anticipate the rental income to be once the facility opens based on current rates at similar properties?
* What is the payment schedule?
* What happens if the building is delayed?
* What is the rental yield I can expect?
* What are the tax and inheritance implications?
* What is the buying process in this country?
Most off-plan property can be sold almost immediately before the first stage payment.
- Last edited November 10 2008
We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.
Contributors to this article include:
- 427 Contributions