Things To Consider When Buying Off The Plan
b'ARVE Error: Mode: lazyload not available (ARVE Pro not active?), switching to normal mode\\n\\n\\n\\n\\n\\n\\n\\n\\n{"@context":"http:\\\\/\\\\/schema.org\\\\/","@id":"https:\\\\/\\\\/onproperty.com.au\\\\/things-consider-buying-off-plan\\\\/#arve-youtube-9ew3aajfzb4659a0b2e25a06417540624","type":"VideoObject","embedURL":"https:\\\\/\\\\/www.youtube-nocookie.com\\\\/embed\\\\/9eW3aaJFZB4?feature=oembed&iv_load_policy=3&modestbranding=1&rel=0&autohide=1&playsinline=0&autoplay=0"}\\n\\n\\n\\nWhen buying property off the plan there are some serious risks you need to consider or you might end up with a bad investment.\\n\\nWhen investing in property, one of the things you\'ll probably ask yourself at some point is, "Should I buy existing property or should I purchase property off the plan?" It\'s a question that a lot of people wrestle with. And so, today, I wanted to talk about some things to consider when buying off the plan. Both the benefits of it as well as some of the risks that are associated with it.\\n\\nSo, hey, I\'m Ryan from onproperty.com.au. I help people find positive cash flow property. And a lot of people do email me asking what do I think about buying off the plan. In fact, I was on a webinar with Ben Everingham last night and someone asked this very question.\\n\\nWhat do you think about buying off the plan? They were saying, if it\'s got a decent yield, does that mean it\'s okay? The fact is, there\'s a lot of things that you need to consider and thing about so I thought it\'d be great to create an episode. At the end of this episode, you\'ll be more educated and you\'ll know the things to look for if you are actually considering going down this route.\\n\\nFirst, let\'s look at some of the benefits of buying off the plan as well as why people seem to get so excited about this type of investment. Well, I think, one of the most exciting things as a human being full of emotion, which we all are, is buying something brand new is extremely exciting just for the fact that it\'s brand new.\\n\\nIt\'s all of this really nice fixtures, really nice fittings, brand new everything. And chances are, you\'ve probably never moved into a house and lived in it and been the first person that\'s lived in there or in a unit. And so, to get something that\'s brand new versus something that\'s existing and old and a bit worn down is obviously very exciting. It makes us feel good about ourselves and our place in society.\\n\\nThere\'s also a lot of marketing hype around new build properties. They\'ve got signage. They\'ve got sales people. They\'ve got models of it. They\'ve got walkthroughs. And so, it can very exciting with all the marketing hype and things like that to try and get the best of the best in terms of property.\\n\\nYou also have the opportunity to lock in prices. So, you purchase the property and it might be a year or 2 years before that development is finished. But, you signed it a year or 2 years ago and you got a price at that point. So, there\'s the opportunity to lock in the price. You have a smaller earlier commitment. You do need to put down a deposit. But, obviously, you don\'t assume a loan for the development until you actually take over that property and own it yourself.\\n\\nYou also have the opportunity for depreciation. Because it\'s a brand new property, you can depreciate a lot of things. So that can help for tax purposes for some people. So, that\'s kind of the exciting things and why people think about it. But, there are actually a lot of risks when buying off the plan properties that people don\'t think about.\\n\\nSo, I really want to cover them because they\'ll never talk about these in the marketing flyers that you get or in the consultancy call that you talk to people about this sort of stuff. They\'re not going to talk about these risks.\\n\\nThey\'re just going to talk about how great the area is, how great this development\'s going to be, how you\'re going to lock in your price now. And so, I thought we\'re going to look at two types of risks. There\'s risk when actually buying the property.'