11 Jun 2013
Buying property off-plan can be daunting, particularly if it’s something you’ve never done before. We’ve all heard stories of shoddy workmanship, people being left in the lurch by inexperienced developers who fail to project the overall figures correctly, or those unfortunate buyers who are faced with the liquidation of the developer before the project is completed.
So what do you look out for when buying property off-plan in order to avoid pitfalls?
Brendan O’Brien, CEO of Urban Space, a Cape-based property developer specialising in the development of top-end security estates in prime locations which are predominately sold off-plan, has the following tips for would-be buyers:
O’Brien advises that, while buying off-plan can be an intimidating experience, there are certain benefits to it.
“When you buy off-plan, you have the freedom to personalise your home according to your tastes. You can tweak the design and layout of the property, as well as the finishes,” he says.
In addition, the value of a home invariably increases between the time you sign contract documents and the time the construction on your home is completed.
When it comes to selling property off-plan, O’Brien is something of an expert. One of Urban Space’s most recent developments, Adare Place in Upper Claremont, is a luxury security estate comprising of seven homes. Within a month of the launch of this development, six of the seven houses were sold off-plan at prices ranging from R12m to R24m. Construction of Adare Place is well under way and scheduled to be completed in March 2014.
Buying off-plan may seem like a leap of faith, but if you do your homework, you may be rewarded with your dream home at a discount on the open market value.
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