Off the plan purchases have been a popular trend over the last decade in Australia. If you are interested in buying a property off-the-plan, you should –
- Inspect the display unit carefully as you are purchasing the property sight-unseen
- Go through the contract with a solicitor
- Understand the terms of sunset clauses and their implications
- Be aware of variations to the contract which gives the builder flexibility to modify the construction and inclusions
- Check your options especially in relation to the schedule of finishes
- Check allowable variations in costs
- Review the Body Corporate/strata fees and regulations
- Be aware of when your stamp duty liability is due for payment
- Find out if the deposit is held in a trust account
Deposit
Usually the deposit required is 10% of the purchase price. You may want to consider a long-term deposit bond in this case.
Settlement
Make certain you do a pre-purchase inspection, checking against your schedule of finishes and inclusions.