One reason people buy off-plan is that you do not pay everything at once. The price is spread over time. Each developer designs its own plan, but most follow the same logic.
The reservation
This is the first step. You pay an amount to hold the unit and sign the reservation form. The sale and purchase agreement and the down payment follow. Always ask whether the reservation is refundable, and under what terms, before you transfer anything.
Payments during construction
Most of the price is paid during construction. Payments can be tied to dates or to construction milestones, such as completing the structure. All buyer payments go into the project escrow account, regulated by RERA, and not directly to the developer.
Payment on handover
In classic plans, the last instalment is paid when the unit is finished and handed over. This is also when you inspect the property.
Post-handover plans
Some projects leave part of the price until after you receive the keys, spread over months or years. They can ease cash flow at the start, but they are still a debt to the developer. Before choosing one, run the numbers: does the rent cover the instalment? What happens if you cannot pay? And confirm the terms in the contract.
What to compare between plans
- What percentage you pay before handover.
- Whether the plan is tied to dates or to real construction progress.
- What penalties apply if a payment is late.
- Whether you can assign the unit before paying in full.