100% Locally Owned, Independent and Free

100% Locally Owned, Independent and Free

Excited about your off-the-plan home? Here's what you could have done differently

Do you have a news tip? Click here to send to our news team.

Application lodged for Queenslander-style units

A set of Queenslander-style units has been proposed for a hinterland town. An application for a Material Change of Use for multiple dwellings has been More

Photo of the day: somewhere under the rainbow

Norfolk pines at Moffat Beach, by Salita Matthews. If you have a photo of the day offering, email photo@sunshinecoastnews.com.au. Photos must be horizontal/landscape and may More

Increased height proposal describes plan scheme limit as ‘error’

A developer aims to exceed the height limit with an 11-storey block of units and shops on a prime beachfront site. A 10-storey building comprising More

Adventurer hitting new heights on Antarctic expedition

A Sunshine Coast local is continuing his preparations for an incredible journey to Antarctica in December. James McAlloon will be skiing from the coast and More

Woman fined $20K for unlawful possession of wildlife

A Sunshine Coast woman has been fined $20,000 for illegally possessing an array of reptiles and eggs. The Nambour woman received the penalty for four More

Man charged with sexual assaults on footpaths

A 20-year-old man has been charged with sexual offences after reports multiple women had been inappropriately touched while exercising on footpaths in Buderim, Mountain More

As the time to settle my off-the-plan (OTP) purchase nears I have turned to an industry expert to talk about what I could have done differently in preparing to commit to my new home.

Early on in our chat, Ray White Maroochydore director Dan Sowden makes it clear I am locked into the purchase.

In signing the unconditional contract, which developers need to secure bank funding to start construction, if I want to change my mind, it could be difficult.

The most obvious options are talking to the agent or to the developer about selling the apartment.

Mr Sowden notes, getting my 10 per cent deposit back, which is normally paid in cash or by bank guarantee, isn’t likely to be straightforward.

Ray White director Dan Sowden.

But if I want to sell, it will be into a rising market.

“We are selling apartments off-the-plan (OTP) and apartments once they are completed for more money than what the original buyer paid for them,” Mr Sowden adds.

Buying OTP allows purchasers time to shop around for a loan or take their time to sell their home before settlement of the new property as some developments can take several years from the contract being signed until building completion.

A heads up: the standard sunset clause for contracts is three-and-a-half years.

Mr Sowden strongly recommends buyers research the reputation of the developer, ask the selling agent for details of the developer’s track record and look at the building pre-sales.

Before signing my contract, I was shown through my developer’s most recent project, where I saw the quality of work they delivered.

“I would (also) be very clear on the floor plan you are looking for,” Mr Sowden says. “I would try to find a similar floor plan and size that is on the market now.”

As I have recently built a house, running a ruler over the plan and reviewing the inclusions was relatively straightforward.

Early on I appointed a solicitor experienced in OTP contracts. The contract’s length can be daunting. Mr Sowden says he quite often firstly sends the contract to the purchaser’s solicitor so a brief can be prepared for them.

It’s been a long two-and-a-half-year years wait, but I know my new home will be worth it.

I now need to do a pre-settlement inspection with a qualified building inspector by my side, pay for the apartment and then settle into more great Sunshine Coast living.

Subscribe to SCN’s free daily news email

Hidden
This field is for validation purposes and should be left unchanged.
[scn_go_back_button] Return Home
Share