Tag property is a leading real estate company in the United Arab Emirates, providing real estate service. Tag property has a no. of professional real estate agents throughout the emirates. When our agents meet with customers who want to invest in off-plan or under-construction property. Our agents are asked what things we should know before investment, when we can sell this property etc.
What is Off plan Property?
Off-plan property means that property is not ready for use, under-construction property, and work in progress. You buy the off-plan property from developers and the first owner of the property. Usually, you have to pay a 10-20% down payment and get sales and purchase agreement (SPA).
Costs and fees of off-plan.
When you go to buy off-plan property the price will change compared to ready to use the property.
In the off-plan property, you have to pay less amount and fee charges.
|AED 3,000||Oqood Registration||Dubai Land Department (DLD)|
|4%||Property Registration Fee||Dubai Land Department (DLD)|
While you are buying an off-plan property you need to pay the fees and charges that’s not mean you end up paying. Today, some developers are paying half the Dubai Land Department registration fee and in some cases pay full fees on behalf of buyers. If developers pay full you can save your 6%. You save 4% on the DLD registration fee and 2% on the agency fees.
Benefits of buying off-plan property.
- Save money- Off-plan property allows the buyers to buy property at lowest and earlier price. It also allows the buyers to buy an apartment, flat, and studio on the desired floor and select the best apartment in the building. That is the biggest advantage to increase the profit and maximum return on investment.
- Sell before finishing – Mostly buyers often sell their off-plan property before Completion. It doesn’t mean you buy today and can sell tomorrow. First, you have to pay some percentage of the price to the developer according to the deal. Then you can sell your property.
Risk of off-plan property
- Delay in possession – Developers do not deliver the property on time. For this reason, you should research for developer’s history, track records, quality and etc.
- Change in market conditions – the future is uncertain. Due to the change in the market and economy of the country, the price of property goes down. That effect on profit or Return on investment. Only 1% this happens so you should either research on it or hire the best white-collar real estate company agents.
When can I sell my off-plan property?
There are numerous reasons to invest in Dubai and get the best return on investment (ROI). According to deep researched by economic and real estate guru’s Dubai market is a stable and secure investment. There are many prominent developers, every developer has their own policy and regulations. If you have invested in off-plan property or are thinking to invest. You can sell the off-plan property after paying DLD charges, fees and some percentage amount of property.