Looking to buy in a new development? Prime Property has you covered.
Category Principal's Message
From time to time a great opportunity for buying a home becomes available.One of these is to buy a home off-plan. There are a number of projects that can be bought into before work is started all the way up to the time it is completed.
Because most properties you buy off plan in South Africa will have appreciated in value by the time you take transfer, buying off-plan remains an attractive option. Buying property off-plan also saves the buyer on transfer duty and buyers are sometimes given the freedom to choose their own fittings.
Benefits of buying off-plan in South Africa
The first buyer of a ‘new’ property is exempt from paying Transfer Duty which can offer savings on a property. Profits from off-plan properties can be free of capital gains tax if the property is sold before completion. Often the developer will pay the legal costs generated by a property purchase, such as the fees incurred through the registration of the title deed and the costs involved in raising a bond or mortgage.
Maximizing profit from off-plan investment in South Africa
Purchasing early
In order to maximize on profits through off-plan purchase it is essential to purchase early. The South African property market, as in many others, is experiencing a steady growth and prices never stay at the initial offer level for long.
Purchasing the best units
The first investors in a development have the opportunity to select the best properties and choice units. They will receive the highest capital appreciation in the shortest time. In addition, the best units command a higher rental income.
Price increases as development matures
Once there is physical evidence of construction on the site, the price of the units begin to increase. Often developers will complete a show home at this point, which potential purchasers can view, therefore minimizing their risk. The price of units then increases as buyers are no longer purchasing solely from plans.
Buying your dream home off plan – make sure you get what you are paying for
Buying “off-plan” means you are purchasing your new home in a sectional title complex or cluster home scheme before it is built and will be depending on the developer and builder to complete your home properly and timeously.
Buying off plan is definitely something that you should consider.
We at Prime Property have a wide variety of developments for sale, some in the early stages and others almost sold out. If you are interested contact us now to take advantage of these benefits, and one of our skilled property professionals will assist you in finding your perfect home or investment that you are looking for.
Author: Portfolio Property Investments & Prime Property Marketing
