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By: Admin March 21 , 2024
When buying property and making an investment, you should look for two main attributes: high returns and capital growth. These two things are something that you can achieve while you purchase an off-plan property. The off-plan developments are recently experiencing high sales levels, and their popularity has increased with the ability to negotiate excellent discounts, sometimes under construction and mostly before the property is built. At some point, you will get excellent results, which you wanted for years. You might not have enough money to invest at that point. During such times, you should take out a loan and settle the deal. If you are confused about whether or not you should invest in an off-plan by taking a loan, you can always include an off-plan loan consultant in it. They will help you understand the deal better and will tell you all the pros and cons to make things clear for you.
The purchase price is lower.
One of the main advantages of investing in an off-plan property is that you can secure your deal below the market value. Usually, this is because the developers want to sell as many units as possible before the completion or they want to demonstrate a specific level of sales before the marketing development. There are some developers as well who offer discounts to investors who have purchased multiple off-plan properties from them as an incentive. Always negotiate directly with the developer to get the maximum discount possible, and this will help you get a large number of the properties efficiently and quickly.
You attain strong capital growth.
Buyers or investors who invest in off-plan property mostly benefit from home price growth. If you invested in an off-plan property in 2015 and haven’t built anything until 2017, you will certainly notice that the value of the same property increased within two years. Each year, the value grows slightly, and thus you gain strong capital growth.
You can resell it and gain a profit.
It is possible that the property will have a greater value before you even construct anything on it, and the investors can choose to resell their property at a higher rate than the market value and the amount they paid for it. This is a nice way for people who want to gain profit in a short period of time; otherwise, you can rent it and earn monthly rental fees, adding to your capital growth.
Deposits are small, staged payments.
Depending on the developer and the property that you are dealing with, some off-plan property deals have the extra benefit of staged payments. In this kind of payment, you can divide the cost of the purchase and pay the investors without actually paying them large deposits. Though this is for some investors only, for the rest, you have to make large deposits.
If you like a property where you cannot choose a staged payment, you can always apply for a loan, pay a large deposit to the developer, and be an investor. Contact the best off-plan loan consultant in Dubai, and they will help you know all the processes and will also consult you on whether to invest in the particular property or not.