Redefining off-the-plan rorts


Here are a few new definitions for your strata dictionaries:

Sunset clawbacks: Where a developer in a ‘hot’ market allows a project to over-run its “build-by” date, uses the sunset clause to rescind the contract then re-sells the same unit at a much higher price.

Shape shifters:  Again, in a hot market, when a developer realises they can sell smaller apartments for the same money, reconfigures the unit on which you have paid a deposit, squeezes a few more on the same floor and gives you the choice of sucking it up or taking your deposit back.

Property spruikers: ‘Seminars’ for get-rich-quick schemes where they tell you you will earn a fortune by buying properties off the plan and negatively gearing them, but don’t tell you that they are actually working for a developer who needs to clear unsold stock.

Find out what the NSW government is doing in these stories HERE and HERE.

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