Buying Tips

Is It Cheaper to Buy Your Home Off-Plan?

March 28, 2024 1 minute
Platform Home Ownership Interior

One of the main reasons that people buy off-plan is for the financial benefits it offers. Aside from flexibility and control, off-plan property - along with affordable home ownership schemes - can offer buyers savings in terms of market prices, deposits and other cost elements. Below we explore the question, is it cheaper to buy your home off-plan? 

Can you save money buying off-plan?

Whether you’re a first-time buyer, second-time buyer or a property investor, buying off-plan may save you money in the following ways: 

1. You could buy at below-market value prices

Buying an off-plan property, particularly through an affordability scheme, is often cheaper than buying an existing property either outright or through a mortgage.

This is because developers generally sell new-build properties at a lower-than-market value to bring in new buyers and encourage sales.

According to property investment experts Fleetmilne, there’s examples of UK properties being sold up to 55% below market prices if they’re off-plan developments.

This is useful if you’re looking to buy in a more desirable area and want to find savings compared to the existing properties within the market.

2. Modern build means modern efficiency

New-build homes aren’t just popular with buyers because of their modern designs, they’re also typically much more energy-efficient.

Developers are increasingly building with eco-friendly materials and sustainability at the front of their minds, with research suggesting that around 80% of new-build homes often have an energy-efficiency rating of A or B. 

Obviously, this has a knock-on effect for the buyer. The higher the energy efficiency of a home, the lower the energy bills throughout the year. 

At a time when energy costs are still in the headlines, this is fantastic news for a homebuyer looking to make savings where they can.

3. High potential for house price growth

One of the most underrated aspects of buying a new-build off-plan is the potential for house price growth. While investors will often consider the potential for capital growth, the same benefit still applies to homebuyers. 

As a development is being built, the surrounding area may increase in value, which obviously impacts the value of the project in the future.

So, while you may buy a property for a certain amount at the start of the year, that same property could already be worth several thousand pounds more by the end of the year and it completes. 

Although this doesn’t relate to immediate savings, it does provide a financial benefit if you ever come to sell.

4. New builds and affordability schemes mean lower deposits

If you’re buying a new-build property through shared ownership, you can find incredible savings during the initial purchase.

When you buy through shared ownership, you only buy a share of the property and pay a deposit on that share. This can vastly decrease the upfront cost of the purchase and make homebuying much more affordable in the short-term. 

While this obviously doesn’t apply to every off-plan purchase, it does make buying a new-build through a scheme such as shared ownership much more desirable.


Chloe is a member of the Platform Home Ownership Marketing Team. Bringing you the newest trends shaping the property market, insightful tips on shared ownership, and exciting updates on Platform Home Ownership.