Buying a property in a new residential development has many perks including the creation of a safe living environment (link to security estate blog post) and the fact that you get to live in a brand-spanking new home.
Purchasing in a new estate often requires one to buy off-plan. This basically means that the development has yet to be built at the time of purchase. At HelloHouse we get to know our developers by working closely with them, and we require them to provide us with lots of valuable information regarding what they intend to build. This allows you, the purchaser, to be confident of the quality of your purchase.
Whilst buying a home that has yet to be built may seem a bit scary, there are many benefits to this option. Here are just a few:
The deposit on an off-plan home is substantially lower. Some units have a deposit of as little as a R2000.
Bond repayments only start when construction is complete. This lowers the risk for you and could give you extra time to save for mortgage payments.
Most developers will allow you to decide on minor fittings according to your taste.
You don’t pay any transfer costs! This can be a chunky amount and is therefore, a great save.
You buy the property at the current price, even if you only move in two years later. This often means that your property will most likely increase in value by the time you take ownership.
Did we mention that you get to live in a brand new, built-for-you home? No having to worry about out-of-date fittings, mould and damp, rotting window frames etc that are often associated with buying an older home.
The downside to buying off plan can be that if you don’t thoroughly investigate what you are buying, you may be disappointed. We recommend that you study the plans and artists’ impression and find an existing home of similar size to view. If the unit you intend to purchase is 85 square meters, find a friend who has a similar size home and experience the space. Don’t be afraid to ask the developer questions so that you can take full advantage of the benefits of buying off-plan.