When buying real estate the first question is whether to opt for an off-plan property (a property that is being built and hasn’t been completed) or to buy a ready property, a property that is ready to move in.
The option that suits your needs depends on what you want to do with the property after the purchase. There are 3 options:
There are both pros and cons to buying ready property and below the main points of interest are combined in a table.
Advantages Ready Property | Disadvantages Ready Property |
Immediate full control over the property | In most cases, the whole sum has to be paid at once. No flexible payment plans as with off-plan properties. |
Immediate rental yield | High prices (compared to off-plan) |
What you see is what you get | Limited choice when it comes to which floor, view, etc. |
When living there, you save on rent | Modification options are limited |
Possible to re-sell the property at any time | Re-selling might be hard and extra costs may be involved |
Advantages Off-plan Property | Disadvantages Off-plan Property |
Purchase a property and pay later | No control over the property until handover |
Attractive payment plans and bank loans | No ROI until handover |
Low prices (often below market level) | Handed over property might differ from what was in the brochure |
Off-plan incentives could include things as free maintenance for several years, post-handover payment plans, | Possible delays/cancellation |
High ROI | Changing market conditions |