Buy off the plan |
Many developments are sold ´off the plan´. This means the contract for the purchase of the lot is entered into before the title to the lot is created and a building is constructed.
You must receive an information sheet and a disclosure statement under the Body Corporate and Community Management Act 1997 before signing the contract.
Benefits
When buying a property off the plan, you may be able to have input into certain design aspects of the home before it is completed. You might also save money on the purchase price.
Risks
Although you can view architectural plans and models or visit a display suite, you cannot physically see the final result until after you´ve already purchased the property and construction is finished. You may also experience variations in the expected completion date, due to unforeseen building delays.
If your contract includes a sunset clause, make sure you read it carefully and fully understand it. If certain conditions are met, a sunset clause could allow either the purchaser or the builder/developer to terminate the contract.
Last reviewed 22/11/2011 |
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