Whether to buy an off-the-plan property is right for them is one of the common questions investors have when looking to invest in properties. Solid research and consideration of your financial circumstances are key aspects, and there are some clear benefits of investing in an off-the-plan property that may appeal to some investors.

If you are among the quickest investors you have the chance to get into the project on the ground floor. This can mean that before building commences, developers commonly offer lower prices to attract the necessary funds to meet their financing agreements. Once building has commenced, prices for these properties may increase. This can be a quick capital gain for the early investor. Another benefit of getting in early is that the range of properties available is the largest and you can choose a property with the best floor plan to appeal to future tenants.

Another appealing attribute of buying off-the-plan property is the tax benefits available. New properties attract the most depreciation and an off-the-plan property is the best way to maximise these tax breaks. Another great benefit of off-the-plan property is once you have paid your deposit – roughly 10 per cent of the property price – you may have up to 18 months’ time or longer before you will have to pay the outstanding amount. This extra time can provide a significant opportunity to save money to lower the amount you need to borrow and reduce loan repayments.

Are you looking for positive cash flow properties but not sure where to start? Silverhall provides guidance and strategies for property investors. Book a free consultation online or contact them today on 1300 662 143.