Buying Off The Plan
If you’re planning on buying an off the plan house or apartment in Victoria, we are specialists in this process.
We will provide you with a qualified and experienced conveyancer that will give you professional advice on the development you are purchasing into, and then guide you through the entire process until settlement.
There are allot of positives in buying off the plan, and some things that you need to look out for.
What are the Positives of Buying Off The Plan ?
- Owning a newly built property with all new appliances
- Potentially customise your design and layout
- Potential for Stamp Duty exemptions or reductions
- Access to the First Home Owner Grant Scheme
- The purchase price can sometimes be negotiable
- The property may go up in price before settlement
- low initial capital outlay as buyers usually only have to pay a 10% deposit or less
- A long settlement means extra time to get your finances in order
- Builders guarantees for problems and faults with the building
If buying the property as an investment:
- Potential for claiming depreciation if it is purchased for investment purposes
- Brand new properties often attract premium rents
- Lower property maintenance costs
If you’re planning on buying an off the plan unit, apartment or house in Melbourne, we can provide you with detailed information on the development, and then guide you through the entire purchasing process.
Our experts can assist you in getting a better understanding of what you are buying and help you to understand all the details and obligations of the contract.
After you have signed the contract, we will be in regular contact with the vendors conveyancer to make sure that you are kept up to date with the progress of the construction, and make sure you pay the absolute minimum at settlement by making sure nothing goes into the adjustments that is not detailed in the contract.
What to Look at When Buying Off The Plan ?
To give you more confidence when buying off the plan, below are some things that you can consider and look out for:
- Will you have a parking space, and if so how many?
- How many lots will form a part of the development?
- How is the development sub-divided?
- What changes and design choices can I make?
- What is the "Sunset Clause" date (completion date) ?
- What is the estimated rental return ?
- Who is the architect for the development?
- Who will be the builder for the development?
- Has the builder built similar developments before?
- Can you go and see a similar development they have built before?
- Will the property be subject to an Owners Corporation? and if so:
- What will the Owners Corporation fees be?
- How will the Owners Corporation/s be structured?
- What will my lot entitlement be?
Potential Concessions & Discounts
- First Home Buyer Duty Reduction - A duty concession is available for first home buyers when you buy a property valued up to $750,000.
- Principal place of residence (PPR) concession - A duty concession for when a property you buy, valued up to $550,000, is intended as your primary home.
- Off the Plan Stamp Duty Concession - If you buy an off-the-plan property either as a land and building package or as a refurbished lot, a duty concession is available
- First Home Owners Grant (FHOG) - If you are buying or building a new home valued up to $750,000, you may be eligible for a First Home Owner Grant of $10,000
- Buying new residential property within the City of Melbourne - There is 50% stamp duty concession or exemption if you buy a new residential property within this local government area with a dutiable value up to $1 million
Contact one of our team today for a no obligation quote, or for any free advice you may need for buying off the plan in Victoria.