Who is better to buy an apartment from - from a developer or through a real estate agency?

Buying your own home abroad for many — a long-awaited and important event. Every buyer wants the property to be of high quality and the terms of purchase to be favorable. Apartments from the developer located in modern residential complexes meet similar requirements. Reliable and successful companies often independently, that is, without intermediaries, present and sell their projects on the real estate market, which certainly indicates self-confidence and high quality of work.

Why is it more profitable to purchase housing directly from a developer than through an agency? You will find answers to these questions in our new expert article.

What does “apartment from the developer” mean?

Apartment from the developer — This is primary real estate, which has never previously had and does not have an owner at the time of the purchase and sale transaction. That is, in other words, this is actually new housing in which no one lived.

In turn, purchasing real estate directly from the developer means that the transaction is concluded between the buyer and seller, bypassing intermediaries represented by real estate companies or private agents.

There are two main ways to purchase apartments directly from the developer:

• when visiting a sales office in person;
• remotely, that is, through a trusted person.

Some buyers prefer to turn to real estate agencies for help, fearing to take any independent steps in finding a suitable property from a developer abroad. Other investors, realizing all the advantages of buying without intermediaries, in search of ultra-modern and comfortable housing, immediately turn to construction companies with an impeccable reputation and a good case of completed residential projects.

Of course, both methods of purchase may be appropriate under certain circumstances. Yes, globally it doesn’t matter for buyers with whom to cooperate — with a developer or agent, but it’s all in the details, as always.

Therefore, right now we will try to figure out why buying real estate from a developer without intermediaries is more profitable than the services of a real estate agency.

Why is it more profitable to buy an apartment from a developer than through a real estate agency

Purchasing real estate directly from a developer has a number of objective advantages, including not only nuances in cost, but also objectivity and detail of information, the possibility of bargaining and cooperation with banks.

Price difference

Of course, it depends on which purchase method you choose — through an agent or directly from the developer — the price of the apartment will not change. Both realtors and construction companies sell real estate according to a single price list, which is compiled by the developer. As a rule, the commission is already included in the offer price, which means that in order to save money, it really makes no difference who you contact — to the intermediary or to the one who erects the building.

Nevertheless, discount policy can play a role. So some realtors are simply not ready to issue a discount. In addition, we should not forget about the tendency to artificially inflate prices when working with private agents. In this case, the benefit, of course, is on the side of the construction company, which is ready to offer its clients discounts in the form of promotions or special offers.

Information from the original source

By contacting the developer directly, you are guaranteed to receive the most complete information about the implementation of the project first-hand. When visiting the office of a construction company, you will be provided with all the construction details, including the materials used, technologies, safety and environmental parameters, as well as other data necessary for an informed and therefore successful choice of residential real estate.

Special banking programs

Large foreign construction companies always establish cooperation with banks, which, in turn, offer investors favorable mortgage lending conditions on partnership terms. For example, in some countries a scheme is used under which the developer pays interest on the mortgage for the first time after purchasing the apartment. In addition, the procedure for approving a loan application may be simpler than for buyers “off the street.” Literally a few days of waiting — and the living space will be yours.

For example, in Turkey for several years there were no lending programs for foreigners. However, information recently appeared that Kuveyt Türk Bank is resuming issuing loans in foreign currency and Turkish lira to foreign real estate buyers.

In addition, in Turkey you can purchase real estate from a developer on the most favorable terms. In particular, construction companies provide investors with interest-free installment payments for up to 3 years for objects at the foundation pit stage. By directly contacting the developer, the buyer has the opportunity to individually discuss the terms of the installment plan (including a convenient payment schedule), as well as its extension, even for ready-made residential complexes in Turkey.

Possibility of bargaining

Most real estate agencies meet their clients halfway and negotiate with the developer about the cost of housing. However, you can get the best sales conditions and a significant price reduction if the developer sells the apartments to you.

By contacting the sales department, you already have the opportunity to ask for a discount of 1–2%. This way, you will save money on the purchase of, for example, household appliances or interior items.

In addition, if the developer has a flexible pricing policy, then you can count on a large discount, especially when purchasing the last apartment in the block or an object that is in less demand among buyers. There are cases in the foreign real estate market when discounts from the developer reached 10 and even 20% of the starting price.

Ability to book property

Reservation of apartments — A very convenient option that allows you to leave a reservation for the property you like and pay for it later at the old price. Many developers take this step only if the buyer contacts the company directly, bypassing realtors.

Saving on associated costs

Construction companies do not provide fees for assistance in preparing documents for a transaction. That is, the buyer pays exclusively standard government duties and fees, in accordance with the current legislation of the country.

Which purchasing method is right for you depends on the situation and your capabilities.

In addition to the listed advantages, keep in mind that buying a home directly from the developer guarantees:

• lower prices if the deal is concluded at the zero stage of construction;
• completely new design and communications;
• the ability to select an object of the desired layout and area;
• clean legal history;
• installment plan without interest on the most favorable terms;
• landscaped local area,
• living in a single social environment.

In addition, do not forget that liquid primary real estate will not become obsolete for a long time and will increase in price. The more developed the area and infrastructure become, the more expensive the apartments in it will be.