Which are the common payment plans for buying a property?

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Since purchasing commercial property on installment has grown common in Dubai, there is a broad range of solutions to suit most people's financial circumstances. There are several frequent sorts of bargains you will be given by real estate brokers near you.

A payment arrangement for after the transfer

This arrangement, as the name indicates, allows the buyer to pay for the property after taking ownership. While a portion of the cash is necessary to buy the property, this is still a fantastic value. It's common among investors who want to rent out their property as soon as possible after receiving it.

The ten-to-ninety-day payment plan

This plan, which is akin to a post-handover payment but with predetermined payment percentages, is a frequent contract for off-plan houses. Basically, you must pay 10% of the entire property value before you can take possession. The remaining 90% is covered by monthly payments.

Despite the fact that it is a relatively new payment plan, it has gained popularity due to the ease it provides to both investors and customers. It's a secure and straightforward transaction that makes calculating the overall cost much easier.

Plan of rent-to-own

Only homes that are ready to move in are eligible for rent-to-own programs. It entails signing a tenancy agreement for a certain period of time. Although the rent is greater than the market rate, the structure of the arrangement allows the renter to become the ultimate buyer of the property via these payments.

Payments in installments till handover

The emphasis of installment payments is often on ratios that change based on the contract. A 70:30 payment plan, for example, suggests that you must pay 70% in installments until handover. You must pay the remaining 30% after the transfer. 25:75, 40:60, and 10:90 are some more popular ratios.