What is off the plan property?

Off the plan property refers to a property that is bought before it has been fully constructed. Buyers enter a contract based on the developer’s plans, which often include architectural designs, floor plans, and 3D renderings. The property might be an apartment, townhouse, or house in a planned community. Buying off the plan offers the opportunity to secure a property at current market prices, with the potential for capital growth by the time the property is completed. Buyers may have some input into the final finishes, allowing for a degree of customisation that isn't available with existing properties.

How does buying off the plan work?

Start by researching potential developments and developers to ensure reliability and quality. Choose a property based on location, design, and your budget. Obtain a mortgage pre-approval and ensure you have funds for the deposit. Review and sign the contract of sale, which details the terms, including price and completion date. Typically, a 10% deposit is required when signing the contract. The developer builds the property while you prepare for settlement. Inspect the property upon completion to ensure it meets the contract specifications. Pay the balance and complete the legal transfer of ownership.

What are the benefits of buying off the plan properties in Australia?

Buying off the plan properties in Australia offers several benefits, particularly for investors and owner-occupiers looking to secure a modern, custom-designed home. One of the primary advantages is the ability to lock in a purchase price at today’s market rate, which can be beneficial in a rising market. Many states also offer incentives for off the plan purchases, such as stamp duty concessions, especially for first-home buyers. Another benefit is the potential for tax depreciation, which can provide significant savings over time.

Is buying off the plan a good investment?

Buying off the plan can be a sound investment for those who do their homework. One key advantage is the potential for capital growth between the purchase date and the property's completion. There may also be tax benefits, such as depreciation on a new property, which can improve the investment's financial viability. However, there are risks, such as market fluctuations, changes in interest rates, or delays in construction. When it comes to investment properties, buying off the plan is ideal for investors who are financially prepared and have a long-term investment horizon.

Do you pay stamp duty on off the plan?

Yes, stamp duty is generally payable when buying off the plan, but there are circumstances where concessions may apply. For example, in some Australian states, buyers can benefit from stamp duty discounts or deferrals if the property is purchased off the plan, particularly for first-home buyers or if construction hasn't yet started. However, these typically only apply if the property is going to be used as a primary residence for the first 6 to 12 months. The amount of stamp duty owed is typically calculated based on the property's value at the time of contract signing, which can result in savings if the property's value increases by the time of completion. It’s essential to check the specific regulations in your state or territory.

How to find off the plan property?

Finding off the plan properties can be achieved through various channels. One effective approach is to work with specialised platform like iBuyNew, which makes it easy to find new developments across different locations and property types. iBuyNew also provides access to independent property experts who can help you every step of the way; from finding you the perfect property, right through to settlement.

What is a house and land package?

A house and land package is a type of property purchase where buyers acquire a block of land and select a home design to be built on it. This option is popular in new estates and planned communities, offering the benefit of customising the home to suit personal preferences while securing a fixed price for the overall package. Unlike buying off the plan for an apartment or townhouse, a house and land package allows for greater flexibility in choosing the layout, finishes, and fittings. It's an attractive choice for families looking to build a brand-new home tailored to their specific needs.

Are townhouses a good investment?

Townhouses can be a solid investment, particularly in areas where demand for low-maintenance living is high. They often appeal to a broad range of tenants, including young professionals and small families, due to their combination of affordability, space, and proximity to urban amenities. Compared to apartments, townhouses usually offer more privacy and outdoor space, while still being easier to maintain than standalone houses. However, as with any investment, the location is key—choosing a well-located townhouse in a growth area can yield strong rental returns and capital appreciation over time.

iBuyNew: Property & Real Estate Investment Services Australia

Australia’s Property Investment Specialists Driven by Intelligence, Backed by Data

At iBuyNew, every strategy is guided by data and driven by performance. Our financial modelling and deep market insights help you find investment-grade properties across Australia

Investment expertise

Independent advice

Strategically selected projects

Why Work With Us