• Benefits of buying off the plan

     

    Architect Cameron Frazer takes you inside a display centre to look at the pros and cons of buying an apartment off the plan.

    Transcript:

    Apartment living is growing in popularity. Australians are embracing high-density living every day.  One way to buy an apartment is to purchase off the plan, and the best way to do that is to visit a display suite like the one we're in today.

    Buying off-the-plan means you're buying something before it's built.  When you are looking at the apartment floor plans there's a couple of key things to look for.  The first one is how big your apartment is going to be and the size of the rooms.  

    Another thing to look for is the orientation of your apartment.  Which way does it face?  Will you get the early morning eastern sun or will you get the afternoon western sun?

    Apartments come with a whole range of extras which you might be able to choose from.  These are the things you need to ask about when you're visiting the display suite.  

    One other benefit of visiting the display suite is that it will be in the area where the apartment is and where you're going to live, so take some time to have a look around the area.

    The benefit of buying something brand new.  If you're looking at an established home of exactly the same value if it's off the plan, you not paying anywhere near as much in stamps.  So the savings are there for you right from day one.

    If you're an investor, the benefits from a depreciation point of view.  The fact that you're buying today and you're paying today's prices, it may not settle for one, two, three or even four years.

    What are some of the challenges in buying off-the-plan?

    You don't necessarily know what you're going to get.  You are sold a vision. It's not necessarily the reality.  And without walking through and without touching and feeling, you don't really have a great idea on what you're going to get.

    What are some of the key questions I should ask the agent?

    Who's the developer. That's always really important to know that they have a track record.

    How long is it going to take for this thing to be built?  Investors want to know when they can actually get a return on their investment. If a builder was been appointed, who they are. Also the architect involved.  If there's an interior designer.  They want to know that the inside is going to look just as good as the outside as well.

    Apartment living is a terrific option. Buying off-the-plan you'll be able to save stamp duty, choose the finishes and fixtures you want and live in the location that you love.

     

    About the author

    • Cameron Frazer

      Cameron Frazer from Archicentre is on hand to help avoid thousands of dollars on costly repairs that can turn that dream home into a nightmare. As our resident architect, Cameron, will show buyers what to look for and the questions to ask when purchasing a property, and how to get the right professional help for your renovation or building project.

      With over 20 years of experience in design, construction, project management and sustainability, Cameron has led significant architectural projects in the private and public sectors. He will also look at how to assess a property, consider the potential renovation costs and how to best unlock future capital growth.

      Cameron Frazer
     

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    The information here is of a general nature only and is not intended to constitute financial or tax advice. You should consult your professional adviser, accountant or taxation expert for advice specific to your personal circumstances.

    The views and opinions expressed in this article are those of the author alone and do not necessarily represent the views or opinions of RAMS Financial Group Pty Ltd ABN 30 105 207 538 (RAMS),  Westpac Banking Corporation ABN 33 007 457 141 (Westpac) or their related bodies corporate. This article is strictly for information purposes only and neither RAMS, Westpac nor any of their related bodies corporate make any representation as to the accuracy or completeness of the information in this article or endorse the views expressed in it.