What Is an Off-Plan Property?


Off-plan properties are properties that haven’t been built, yet you can still snap them up before construction starts.

In other words, off-plan properties, also known as pre-construction or under-construction properties, are homes that are sold before construction has been completed.

Homebuyers like you purchase these properties based on architectural plans, artist impressions, or computer-generated images. The homebuyer typically pays a deposit upfront and then makes installments as the construction progresses.

Benefits of Buying an Off-Plan Property
Buying an off-plan home is the equivalent of buying a new product that hasn’t been released yet. In the simplest terms, you are essentially reserving your spot to own the property when it’s ready. And here are all the benefits it entails:

1. Potential Cost Savings
Let’s be honest, who doesn’t love a good deal? And buying an off-plan home is one way to score big on cost savings. An off-plan home is often offered at a below-the-market value.

For example, the average cost of buying a 2-bedroom apartment in Nigeria is ₦55,000,000, according to Nigeria Property Centre. Also, The Architect estimates the cost of building a standard 2-bedroom home yourself at ₦50,000,000.

But Hybrid Landtech offers a 2-bedroom off-plan apartment with an extra BQ for just ₦25,000,000. That’s half the market price slashed off!

Developers often offer discounts and promotions to buyers who purchase during the pre-construction phase. This means you can save a significant amount of money compared to buying a completed property.

2. Pay-as-we-build: Flexible Payment Plans
Off-plan home plans allow buyers to make payments in stages as the property is being constructed rather than paying the full purchase price upfront.

This is a benefit for buyers who may not have the full amount available upfront, as it allows them to spread out their payments over a while. It can also be helpful for those who want to use their savings for other investments or expenses while still securing their desired property.

Pay-as-we-build plans typically involve a deposit payment at the time of purchase, followed by several installments as construction progresses. The final payment is usually made upon completion of the property.

In addition to the financial benefits, pay-as-we-build plans can provide buyers with greater peace of mind. By paying in stages, buyers can ensure that construction is progressing according to schedule and that the property is being built to their specifications. If any issues or delays arise, buyers can use their payments as leverage to address these concerns with the developer.

3. Customize Your Dream Home
When you buy an off-plan property, you’re essentially creating your dream home from scratch. You can work with the developer to modify the floor plan, choose your finishes and colors, and even select the appliances you want. It’s like having a blank canvas to create your ideal living space.

And because you’re customizing your home from the ground up, you can be sure that it will meet all your requirements and preferences. You won’t have to compromise on anything, and you’ll have a truly standard home, unique and tailored to your tastes.

4. Possibility of Capital Gains
Buying an off-plan property can also be a smart investment decision. As the property appreciates in value over time, you could sell it for a higher price and make a profit. This is known as capital gains, and it’s a common reason why many people choose to invest in real estate.

In addition, if you decide to rent out your off-plan property, you can benefit from higher rental income due to its brand-new state and modern design. This means you can potentially earn more money from your investment, making it a win-win situation.

So, if you’re in the market for a new home, consider buying an off-plan property. Not only can you save money and customize your dream home, but you can also make a smart investment decision that could pay off in the long run.

Source: https://hybridlandtech.com/2023/05/05/what-is-an-off-plan-property/