With the 88-storey Iluka development in Surfers Paradise set to be shovel-ready as early as March, it’s a good time to be considering an off-the-plan purchase. Savvy Gold Coast investors should always be looking for the next big ticket item to buy into, and at SM Properties we pride ourselves on giving the best advice to steer you toward success.
The Australian branch of property group Forise Holdings are planning nearly 700 apartments available in the completed building. For investors, this means more than a few opportunities to pick up a world-class property at a competitive price before doors are projected to open in 2020.
The $970 million Jewel development – also in Surfers Paradise – is proof the Gold Coast property market is booming right now, with more than $55 million worth of sales clearing in the first week of pre-launch in September. If the Jewel development is any sort of thermometer for the market at the moment, the Iluka tower is sure to be one of the hottest releases of 2016.
Do your homework
But what should you be doing if you’re considering an off-the-plan purchase? With any property – not just Iluka – interested parties would do well to keep an eye out for release dates and the announcement of a display suite for viewing.
When the display suite is available, make sure to do several walkthroughs with the real estate agent and request floor plans for the apartment that most interests you. Improper research could mean looking at a brick wall when you were promised a sweeping vista from your lounge.
The second thing is to consider the impact of stamp duty. Jewel properties started at $675,000, attracting a stamp duty for investors of more than $25,000, or nearly 3.75% when mortgage and transfer duty were included. While stamp duty is payable on all dutiable transactions of property or land in Queensland, it’s especially important for investors to consider how much more they could be paying on top of the settlement price.
First home buyers looking to use the property as a primary residence can get a $15,000 Great Start Grant toward buying or building a new home, making it easier for them to enter the market.
Buying property off-the-plan can be a great way to purchase. Getting in before construction begins means you have more time to save and shop around for a mortgage that suits you. Some developers are also willing to take your feedback into account in the construction phase, and make small alterations to better suit the buyer. But don’t count on this flexibility; many developers prefer to see the apartment as is on the plan and are not willing to make changes – this is something to discuss before contracting.
Getting a property off-the-plan is something every potential homeowner should consider. The excitement of watching your future home come together is a unique feeling. If you want to discuss buying off-the-plan, speak to the Gold Coast experts at SM Properties. We have the expertise to give you the advice you need. Call our Surfers Paradise office on 0412 769 608.