One of the main attractions is choice. Buying early in a development gives you access to the best plots, the best aspects, and sometimes the best price. Developers often offer their lowest prices in the early release stages of a scheme to generate sales. If the market moves up between reservation and completion, you buy at the earlier, lower price.
The risk is the reverse. If property values fall between reservation and completion, your property might be worth less than you agreed to pay. Lenders value the property at completion, not at reservation. If the valuation at completion is lower than the purchase price, you may need a larger deposit to bridge the gap. We keep a close eye on this throughout the process.
Completion dates for off-plan purchases are estimates, not guarantees. Construction programmes slip for all sorts of reasons. Your mortgage offer expires after six months unless extended. We manage this actively, requesting extensions before deadlines pass and selecting lenders who are cooperative about extensions.
