In Southeast Asia, off-plan condo investment continues to dominate the real estate industry. Buyers from Hong Kong, China, Singapore, Europe and the Middle East are all comfortable with buying condo units off-plan. The process is easy and doing so usually allows for the highest possible returns.
Of course, off-plan condo investment is not a sure thing. If you want to get to most from your purchase, follow these four tips.
Get the most from your off-plan condo investment
1) Buy early
The cheapest prices can be had as soon as a developer launches a new project. In fact, many developers are now conducting pre-selling periods where exclusive deals are offered. The reason for this is simple. Most developers want to realise revenue before starting construction. They are willing to offer cheaper prices until shovels hit ground to obtain enough financing that ensures the project is worth it.
2) Buy for tomorrow, not today
Savvy investors understand they are investing in both a specific project as well as the neighbourhood it is located in. Be sure to see if there are any future infrastructure projects nearby that will improve connectivity or if there are plans to build retail or commercial centres. These can positively impact property prices and bring extra value to your investment.
3) Know the developer
It is important to be confident in the developer. If you’re considering an off-plan condo investment with a homebuilder, get to know their work first before deciding to buy. What are the most important things to research? You should see if they have ever failed to complete a project as well as if they have ever been late transferring units. These are two red flags that could sink your off-plan condo investment.
4) Think about furniture
If your condo is not fully furnished and you plan on letting it out, the unit will need some decorating. Hiring an interior designer is a smart move if decor isn’t your thing. However, it is easy to do this yourself if saving money is the name of the game. In most cases, the basics, such as a bed, couch, television and tables, will suffice. Remember, the look of the condo unit isn’t about you, but who will be renting it out. Avoid loud art pieces or anything else you like, but could be seen as a turn off.