It was discussed in a previous
article that unit title developments are on the rise,
especially in Auckland where space is at a premium, but we expect
this will also be the case in Christchurch where much of the inner
city residential housing stock is being built or
re-built.
We are already seeing a number of apartments being advertised
for sale, but rather than attending an open home prospective buyers
are staring at an empty section. To get off the ground, the
developers of those buildings need pre-sales but it can also be an
advantage for a buyer to purchase off the plan and strike while the
iron is hot.
Often the hardest part of buying off the plan is the conflicting
interests of all the parties. The seller needs flexibility of what
they are selling, the buyer needs certainty of what they are buying
and the lender (if any) makes the rules. Here we discuss the key
issues we see in buying and selling in this way.
