Off plan property
Encyclopedia
Off plan property is a term used to describe pre-construction property (British English
) or pre-construction real estate
(American English
).
Real estate developers usually market pre-construction developments to early adopters who are usually property investors, so as to secure better finance terms from their lender.
Property investors or property speculators like to purchase property in this way in the hope of making substantial capital gains. This can and does occur because developers who offer property for sale off plan, often offer financial incentives to early adopters, usually in the form of a discount. Also in a rising market and with a development cycle of typically 12–24 months there may be ample opportunity for capital growth.
British English
British English, or English , is the broad term used to distinguish the forms of the English language used in the United Kingdom from forms used elsewhere...
) or pre-construction real estate
Real estate
In general use, esp. North American, 'real estate' is taken to mean "Property consisting of land and the buildings on it, along with its natural resources such as crops, minerals, or water; immovable property of this nature; an interest vested in this; an item of real property; buildings or...
(American English
American English
American English is a set of dialects of the English language used mostly in the United States. Approximately two-thirds of the world's native speakers of English live in the United States....
).
Real estate developers usually market pre-construction developments to early adopters who are usually property investors, so as to secure better finance terms from their lender.
Property investors or property speculators like to purchase property in this way in the hope of making substantial capital gains. This can and does occur because developers who offer property for sale off plan, often offer financial incentives to early adopters, usually in the form of a discount. Also in a rising market and with a development cycle of typically 12–24 months there may be ample opportunity for capital growth.