Off-plan explained
Off-plan property explained
Off-plan means buying a property before it is built. It is neither a shortcut nor a trap — it is a different set of trade-offs, and it should be chosen deliberately.
How the money moves
A typical payment structure
Structures vary by developer and project. This is the shape, not a promise about any specific scheme.
Booking
Reservation and initial deposit. Contract issued.
Construction
Instalments released against build milestones or dates.
Handover
Final balance, registration, keys, service charges begin.
Post-handover
Where offered, remaining balance spread after completion.
Plans are often described as splits such as 20/50/30 — the share due at booking, across construction and at handover. Illustrative only: always read the actual schedule in the contract.
Potential advantages
- Payments spread over a construction period rather than due in full at purchase
- Lower entry amount at the booking stage than an equivalent ready unit
- Newer specification, layouts and building amenities
- Some developers offer post-handover plans extending payments beyond completion
Real risks
- Construction delay, sometimes measured in years rather than months
- No rental income at all until handover — the money is committed but not working
- The finished product can differ from the marketing render and show unit
- Market conditions at handover may not resemble those at booking
- Missing a scheduled payment can carry penalties, and in some cases forfeiture
- Reselling before completion depends on the developer's rules and market appetite
Due diligence
Researching the developer
- Delivery record: what did they announce, and when did they actually hand over?
- Completed projects: visit or research build quality several years after handover
- Financial standing and how many projects they are running simultaneously
- How they have treated buyers during previous delays
- Whether payments go into an escrow arrangement and how that is evidenced
Service charges and exit
Service charges begin at handover and continue for as long as you own. They are charged per square foot and vary considerably by building and amenity level. Budget for them as a permanent annual cost, not an afterthought. On exit, understand before you sign whether you can assign the contract before completion, what the developer charges to do so, and what the practical market for that assignment looks like.
Educational information only. No specific project, payment plan, completion date or outcome is implied. Verify everything in the contract and take independent legal advice. Last checked: 17 September 2026.