The success of Off-plan sector
The success of Off-Plan sector. In June we have seen the success of Off-plan because a lot of Off-Plan properties were sold. Off-plan sector remain stable instead of crises.
The ease of restrictions initiated by the government in light of the Covid-19 pandemic has positively impacted the real estate sector in Dubai, but the emirate’s off-plan sector has remained untouched by the crisis, according to Lynnette Abad, director of research and data at Property Finder.
A total of 2,327 units valued at AED4.72 billion ($1.29bn) were sold in June 2020, while off-plan sales stood at 1,072 units worth AED1.36bn ($370.27m).
“The off-plan sector has not really been affected by the crisis, if anything there were delays in transfers of properties due to the lockdown, but otherwise the transaction levels stayed consistent with over 1,000 transactions month-on-month,” Abad told Arabian Business.
Apartments sold within off-plan developments included 940 units, with the top five performing areas being Mohammed bin Rashid City (18.2 percent); Jumeirah Village Circle (13.6 percent); Downtown Dubai (10.7 percent); Business Bay (9.8 percent); and International City (7.7 percent).
Meanwhile, among villa/ townhouses, there were 154 off-plan units sold. Dubai South topped with 49.4 percent, followed by Dubai Hills Estate (11.7 percent), Dubailand (11 percent), Arabian Ranches 3 (10.4 percent) and Arabian Ranches 2 (9.7 percent).
Abad said demand and enquiries were witnessing a steady increase “We saw a significant increase in searches and enquiries on Property Finder, especially for villa/townhouses. We also saw the same trend with mortgage enquiries,” she said.
“With interest rates being at an all-time low, the increase in the mortgage cap, a large selection of stock and extremely attractive prices and deals, we are seeing residents seriously looking to buy,” Abad added.
Is possible Selling Off-Plan Property Before Completion?
This is a question commonly asked by many potential sellers. The answer to this questions is most cases is Yes – you most certainly can.
If you currently own an off plan property and wish to sell before completion you can earn money. There are a large number of ready investors who place your property in front of a whole lot more.
Alternatively, If you aren’t sure whether you want to sell or not you can check a current market update relevant to your exact property to have prediction on future prices and trends as well as provide you with the knowledge that will help you decide whats best for you.
How to sell an off the plan property before completion?
The first step to selling your off plan property is to contact the developer and find out how much of the property must be paid off in order to obtain a sale No Objection Certificate (NOC). The exact figure or percentage will vary for different developers but is usually somewhere around 30-40%.
How would the sale process work?
The process of selling an off plan property is slightly different to a standard property sale but is rather simple nevertheless. In essence the new buyer pays the seller an amount equal to what they have already paid off to the developer (+/- any difference agreed on). The new buyer then simply takes over the existing payment plan and pays all future due installments directly to the developer.
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