The concept of buying off-plan may seem like an impulsive idea for many property investors because of the nature of the investment. Many people find security in property investments because it is a tangible asset, however with off-plan property investment it is slightly different.
What is off-plan investment?
An off-plan property is the term used for developers and investors to refer to a property that is still under construction. Because the property hasn’t been built yet unlike traditional buy-to-lets, it is referred to as ‘off-plan’.
What type of investment is an off-plan property?
Off-plan is quite a broad term. It can refer to a student accommodation property, care home, residential or commercial property. You will find that when you search for property deals, many of them are off plan developments.
Why You Should Buy Off Plan Developments
Are off-plan developments cheaper?
When you invest in a property off-plan you are buying it before completion. That means that you can get it at a better deal. The property would end up costing you more if you invested once it was built and operating, however because it is still in development you won’t need to think about over priced investments.
Does buying off-plan make sense?
Buying off-plan properties is safe and secure despite what many first-time investors think. In terms of making a better return on your investment, off-plan is the way to go. Now is the best time to invest in off-plan developments because the rates of property prices in the UK, particularly London has reached an all-time high.
According to City A.M., business and finance news reporters say that London house prices are at their weakest since 2008. They also stated in a previous article that London house prices will continue to rise by a third until 2019.
How to buy off-plan
There are many ways you can buy off plan. One of the best options is to go to a property broker to see what off-plan property deals they have to offer. You will find the best returns and lowest prices with most investments fully managed with a property broker company.