What is off-the-plan property?
Off-the-plan property is when you buy a property before it is built, based on plans and specifications rather than a completed home.
How it works
- Choose a property based on plans
- Pay a deposit (typically 5–10%)
- The property is built
- You settle once construction is complete
Key benefits
- Fixed price
Purchase price is agreed upfront - Turnkey delivery
Completed and ready for rental - Depreciation potential
New builds may offer tax advantages - Tenant appeal
Modern homes often attract strong demand
Key risks
- Builder quality
The outcome depends on who builds it - Contract terms
Some contracts favour developers - Market changes
Value and lending conditions may shift before settlement - Finance approval
You must still qualify for the loan at completion
What matters most
Off-the-plan is not inherently risky. Outcomes depend on:
- The builder
- The contract structure
- The location
- The investment strategy behind the purchase
Summary
Off-the-plan property can be an effective investment approach when structured correctly and aligned to a broader portfolio strategy.
Frequently Asked Questions
Is buying off-the-plan property risky?
It can be if the builder, contract or location are not carefully selected. When structured properly with experienced builders and clear contracts, risks can be managed.
What does turnkey mean in property?
Turnkey means the property is fully completed and ready for rental or move-in, including finishes, fittings and landscaping.
Do I pay the full amount upfront?
No. You typically pay a deposit at contract signing, with the remaining balance due at settlement once the property is built.
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