Things to Consider Before Buying a Preselling Property: Budget, Trust Factor, Waiting Game, and Future Upside

Mary Joie Medina
Oct 22, 2025
3 min read

Buying a preselling property is one of the most strategic moves in real estate investment today. It allows buyers to secure units at lower prices, enjoy flexible payment terms, and potentially earn significant appreciation before completion. However, it also comes with certain risks and considerations.

Before signing that reservation form, here are four key factors you should carefully evaluate:

Things to Consider Before Buying a Preselling Property

1. Budget: Can You Afford the Commitment?

Preselling properties often come with more affordable prices and stretched payment terms compared to ready-for-occupancy (RFO) units. Developers usually offer down payments spread over several months or even years, making ownership more attainable.

Still, it’s crucial to look beyond the initial low monthly amortization. Consider:

Total contract price and payment timeline – Can your cash flow comfortably handle it?
Additional costs – Taxes, transfer fees, and association dues that come later.
Financing options – Check if you’re eligible for a home loan when the property is completed.

Remember, a preselling property is a long-term financial commitment. Always have a buffer for emergencies or changes in income.

Things to Consider Before Buying a Preselling Property

2. Trust Factor: Who Are You Buying From?

The success of your investment largely depends on the developer’s reputation. Since the property isn’t built yet, you’re essentially buying based on trust.

Do your due diligence:

Research the developer’s track record in completing past projects.
Visit their existing developments to check build quality and after-sales service.
Read client reviews and look for industry recognition or awards.

A credible developer ensures timely delivery, quality construction, and a smooth handover — all crucial in protecting your investment.

3. The Waiting Game: Patience Pays Off

Preselling properties can take anywhere from 3 to 5 years to complete. During this period, you’ll be paying installments without the immediate benefit of living in or renting out the unit.

This waiting game requires patience and planning. Ask yourself:

Are you financially stable enough to wait until turnover?
Do you have a backup plan for housing or investments during the construction phase?

The key is to view it as a delayed gratification — where the reward, in the form of appreciation or rental income, comes later but often in greater value.

4. Future Upside: The Power of Location and Growth

One of the biggest advantages of preselling properties is the potential for capital appreciation. By the time the project is completed, market prices in the area may have already increased.

To gauge the future upside, evaluate:

Location – Is it in a growing business district or infrastructure hub?
Developer’s masterplan – Are there upcoming amenities, malls, or transport links nearby?
Market trends – Is the area showing consistent demand for housing or rentals?

Investing in a preselling property at the right place and time can lead to substantial returns once the project matures.

Final Thoughts

Preselling properties offer a smart entry point for investors and end-users alike — but only if approached with careful thought and due diligence.

Understand your budget, choose a trustworthy developer, prepare for the waiting period, and assess the future growth potential of your chosen location. With these in mind, your preselling investment can transform into one of your most rewarding real estate decisions.

To invest in a pre-selling property in the Philippines: Le Pont Residences visit le-pont-residences.com or message us for other locations: +63 9515853811

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