AUSTRALIAN PROPERTY- FREQUENTLY ASKED QUESTIONS BY OVERSEAS BUYERS
Michael Bentley, Citylife International Realty
What is purchasing 'off the plan' as it relates to Australian real estate?
Buying off the plan in Australia means buying prior to construction.
Benefits include the ability to lock in at today’s prices. Another benefit is delayed settlement i.e. buyers are not required to settle or pay for their property in full until construction is completed and settlement has taken place.
This allows the buyer to arrange appropriate finance. Only a small deposit (10%) is required and the remainder is not due until building is complete.
There are also significant Australian depreciation and tax savings on new or off plan Australian property, and some cities offer stamp duty savings also.
How much deposit do I have to put down when I purchase an apartment off-the-plan in Australia?
You normally only need to pay a 10% deposit off the plan.
What happens to my deposit?
The deposit is held in a legislated trust account in Australia, usually by an Australian lawyer.
By law the deposit funds cannot be used by the developer until the property is completed, and final completion and settlement has taken place.
This often gives you up to 12-24 months or longer to maximise and organise your financial affairs.
"Michael Bentley has such a wealth of knowledge and wisdom concerning Australian property investment that one can never learn enough from him"
Michael Bentley is probably the most experienced expert on Australian Real Estate as it relates to overseas buyers.
He brings decades of high level knowledge to the table, and with billions of dollars of real estate deals behind him.
To help you navigate through whatever Australian real estate situation you face, you need to be confident that you can get the research, help, information and advice you NEED to be able to make informed decisions going forward.
"Mike provided boundless energy towards our purchase, took care of the finance, arranged lawyers, a building inspection, helped us structure it correctly for tax, and when a last minute hitch occurred with the seller deciding NOT to sell, kept calm, and more importantly kept US calm, and used his experience and knowledge to get the deal back for us"
Colin and Elaine, Hong Kong, 2020