Buying off the plan means buying a property that hasn’t been built yet or is still under construction. The decision to buy is based on the building plans and designs rather than the finished product.

You enter into the contract and pay a deposit; settlement occurs once the property or complex is complete, and titles have been issued.

This can include the sale of Apartments, Townhouses, New Estates, and House and Land packages.

Predominately in Australia, the vast majority of home buyers purchase ‘second-hand.’ This includes already established properties that could be anywhere from a couple of years old, decades old, or even over one hundred years old. A much less recognised buying type is a yet to be built property or what is referred to as buying ‘off-the-plan’.

When buying off the plan, you have access to the property developer’s plans, designs, and renders, plus any other marketing material. In some instances, you may have access to a ‘display home’ which is a mock-up of the type of property you are buying into, although likely not an exact example.

Normally, home buyers pay an initial 10% deposit, with the remaining balance due once construction is completed. The time for building the property can be anywhere from months to years. Generally, house and land packages have a faster construction time in comparison to apartment complexes.

Most home buyers assume buying off-the-plan refers to purchasing apartments. However, off-the-plan also includes the sale of homes (primary described as house and land packages) and townhouses. When purchasing off-the-plan, the type of property can often come with its own distinctive benefits and procedures.

Off the plan sales can be a great opportunity to buy into an exclusive development in a location you want to live in. Plus, it can provide an extended period of time to plan your transition with ample time to sell an existing home. As a buyer, you may also get the opportunity to choose from a range of finishes for tiling, floor coverings and cabinetry.

When buying off the plan, be sure to ask the developer or selling agent lots of questions, gain an understanding of the timeline to completion and ensure you read and understand the contract and by-laws. 

Find out more about what is involved in purchasing off-the-plan through our online property portal with Off The Plan™.