Off-the-plan property guide
- Shelley Tilbrook
- Feb 17
- 4 min read
Purchasing a property off-the-plan can be an exciting opportunity, particularly for those looking to customise their future home or secure an investment at a potentially lower price. However, like any property purchase, it comes with both benefits and risks. This guide will walk you through the pros, cons, and essential tips to help you make an informed decision.
What is Off-The-Plan Buying?
Buying a property off-the-plan means purchasing a property that has not yet been built. Instead, you buy based on architectural plans, artist impressions, and property specifications provided by the developer. Typically, these properties include apartments, townhouses, or homes in large-scale developments.
The Pros of Buying Off-The-Plan
1. Potential Price Benefits
You may secure the property at today’s prices, which could be lower than future market values by the time construction is completed.
2. Customisation Options
Many developers offer options to personalise finishes, fixtures, and layouts, allowing you to tailor your home to your preferences.
3. First-Time Buyer Incentives
In many regions, government grants and stamp duty concessions are available for first-time buyers purchasing off-the-plan.
4. More Time to Save
As construction typically takes 1-3 years, you have additional time to save for your deposit and other associated costs.
5. Tax Benefits for Investors
Investors may benefit from depreciation tax deductions on new properties, which can help reduce taxable income.
The Cons of Buying Off-The-Plan
1. Uncertainty and Delays
Construction delays are common and can impact your moving or investment timeline. Additionally, the final build may not exactly match your expectations.
2. Market Fluctuations
Property values can change between the time you sign the contract and when the property is completed. If values decline, you could end up owing more on your loan than the property is worth.
3. Developer Risk
If the developer encounters financial difficulties or fails to complete the project, you may face legal challenges or financial loss.
4. Limited Inspection Opportunities
Unlike established properties, you cannot physically inspect the final product before purchasing. Instead, you must rely on plans, brochures, and digital renderings.
5. Complex Contract Terms
Off-the-plan contracts can be intricate and may include clauses that favour the developer. Seeking legal advice is essential to understanding your rights and obligations.
Tips for Buying Off-The-Plan
1. Research the Developer
Look into the developer’s track record, including past projects and client reviews. A reputable developer is more likely to deliver on time and meet quality expectations.
2. Understand the Contract
Engage a solicitor or conveyancer to thoroughly review the contract. Pay close attention to clauses regarding delays, defects, and your rights regarding modifications or compensation.
3. Visit Display Homes
Where possible, visit a display home or previous projects by the developer to gauge the standard of work and finishes.
4. Plan for Additional Costs
Budget for additional expenses such as strata fees, utility connections, and maintenance. Having a financial buffer can help manage unexpected costs.
5. Check for Government Incentives
Research eligibility for government grants, stamp duty concessions, or other incentives that could reduce upfront costs.
6. Secure Financing Early
Obtain pre-approval from your lender and understand their policies regarding off-the-plan purchases. Financial conditions may change before the property is completed.
7. Monitor Construction Progress
Maintain regular communication with the developer and stay updated on construction milestones. This helps you prepare for settlement and address any concerns early.
8. Prepare for Settlement and Beyond
Once the property is complete, finalise your mortgage and complete the settlement process. Arrange a final inspection to ensure the property meets agreed specifications. But your journey doesn’t stop at settlement—ongoing support is key to maximising your investment or settling into your new home with confidence.
First Home Owner Grants by State
The First Home Owner Grant (FHOG) is a government initiative designed to help first-time buyers purchase or build a new residential property. The grant amount and eligibility criteria vary across states and territories. Below is an overview of the grant in major Australian states:
New South Wales (NSW)
Grant Amount: $10,000
Eligibility Criteria:
Purchase or build a new home valued up to $600,000.
If purchasing land and building, the total value must not exceed $750,000.
The property must be intended as the principal place of residence.
Queensland (QLD)
Grant Amount: $30,000 (for contracts signed between 20 Nov 2023 – 30 June 2025); $15,000 for contracts before this period.
Eligibility Criteria:
Purchase or build a new home valued up to $750,000.
The property must be occupied as the principal place of residence for a minimum of 6 months.
Victoria (VIC)
Grant Amount: $10,000
Eligibility Criteria:
Purchase or build a new home valued up to $750,000.
The property must be occupied as the principal place of residence for at least 12 months.
Western Australia (WA)
Grant Amount: $10,000
Eligibility Criteria:
Purchase or build a new home valued up to $750,000 in the south of the state and up to $1 million in the north.
The property must be occupied as the principal place of residence for at least 6 months.
South Australia (SA)
Grant Amount: $15,000
Eligibility Criteria:
Purchase or build a new home, including substantially renovated homes.
The property must be occupied as the principal place of residence for at least 6 months.
For the most accurate and up-to-date information, consult your state’s revenue office or government website.
I Can Help You from First Step to Settlement & Beyond!
Buying a property—especially off-the-plan—can feel overwhelming, but you don’t have to do it alone. I offer a one-stop service, guiding you from:
✅ Understanding the process – Helping you decide if off-the-plan is right for you.
✅ Finding the right property – Matching you with the best options based on your goals.
✅ Navigating grants & incentives – Ensuring you maximise available benefits.
✅ Handling paperwork & finance – Connecting you with trusted professionals.
✅ Settlement support & beyond – Making sure you’re prepared for the handover and ongoing success.
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