Investing in new construction homes is one of the safest ways to purchase property - especially if you're new to property investing. You can see what you're going to get. You have a clear understanding of what you're buying and what to expect from the end product. It's also a good way to quickly enter the market and snap up a prime position.
That's why buying off the plan can feel so daunting. It's definitely not for everyone, and if you're a first-time buyer, there are a few things you don't want to miss before signing into the build contract.
Check out the rest of this blog for more.
Research, Research, Research
While buying a property off-plan is one of the most daunting real estate investments to make, there are plenty of benefits, but only if you do your due diligence, first.
Before you dive into an off-plan investment, do your fair share of research on the neighborhood and development area. Learn about local schools, transport routes, amenities, etc. Take some to investigate the property developers and research their track record, quality of work, and experience.
Scope Out the Quality of Work
Don't shy away from asking your developer for referrals or examples of their previous work. This gives you a chance to scope out the quality of work and level of professionalism. Once you've taken the time to get a tangible feel for the types of homes they build, ask your developer to work on a render of your property.
They should provide an internal and external render of your build, including floorplans, level plans, and an example of the finishes. Bonus points if the developer can also provide a virtual walk-through of the property (this is generally the norm, though).
Build a Strong Support Team
Before you make an investment of this caliber, make sure to assess your real estate investment strategy with the right team of experts.
If possible, gather a strong support team that includes a lawyer or conveyancer, and a mortgage broker. You might also need the help of a property management company that offers real estate brokerage experts with unparalleled experience and advice.
Get to Know the Exact Details
It's up to you to fully understand all the details of the floor plan of your new home so you can really envision your life in it. A simple example is ensuring you have accurate measurements of each room so you know what to expect from their size.
Asking about all the simple details is essential so that you have a very clear of idea what to expect.
Understand the Timeline of Deliverables
This is a fundamental part of the process because it gives you a realistic idea of when to expect your home to be finished. Ultimately, this means you can plan your life around this timeline and the estimated deliverables.
Ask your contractor about all the most important dates and milestones. Check-in on their progress regularly and ask them to be open and honest about delays. This way you can better manage your expectations and plan your life accordingly.
Seeking Expert Advice on New Construction Homes?
If you're looking to invest in new construction homes and take on the daunting task of a build-from-scratch property, PMI Property Management experts have your back.
With comprehensive and flexible brokerage and consulting services for first-time or seasoned investors, we're on hand to help you make the best possible investment decisions.
Learn more about our Davie real estate services and how we can help you make the investment of a lifetime.
