Top Off Plan Property Investments for Elite Real Estate Investors

In these turbulent times for the market, it can be difficult for high-net-worth individuals (HNW) to locate solid investments that provide significant returns over the long haul. Is it better to park your cash in the stock market, real estate, or somewhere else? As a savvy investor, you’re right to consider your options and look for the highest returns possible. 

You may be familiar with real estate investments, but you may have yet to hear of a lesser-known but highly lucrative investment opportunity in off-market properties. Off-market properties are not yet listed for sale to the general public and, as such, can offer unique investment opportunities with the benefit of discretion and exclusivity.

A subset of off-market properties—the off-plan property—offers further potential rewards. This type of property is usually not yet built but is a great option for high-net-worth individuals looking to make a purchase for capital appreciation. But finding these deals isn’t necessarily easy. You’ll need access to listings and, most importantly, the specialized knowledge that only Platinum Property Club can provide.

What Are Off-Market Properties?

Before we discuss the benefits of investing in off-market properties, let’s define what they are. As we mentioned above, off-market properties aren’t listed on public real estate listing services. Therefore, unlike on-market properties, the general public isn’t aware they are for sale. 

Off-market properties are a great addition to any high-net-worth individual’s real estate investing strategy, as typically, the sale of these properties is done directly between buyer and seller. This offers you discretion and much less competition for the property. Often, these opportunities are found through word-of-mouth or specialized agents like Platinum Property Club. However, since the deal is usually transacted directly, the potential for negotiation on the price is higher.

Why Portfolio Properties Are a Good Investment for HNW Investors

Portfolio properties are another excellent investment for HNW individuals. These properties are collections of real estate investments for capital appreciation. They could be owned by a group or an individual. 

Portfolio properties offer high-net-worth individuals a range of benefits, such as diversification through different asset classes like residential or commercial real estate. They also allow you to spread your investment throughout various locations, such as urban or suburban real estate.

The diversification you get means you'll be protected against dips in the market, and you'll enjoy more than one income stream. You'll see your investments perform better than being locked into one specific area.  

Investing in Luxury Real Estate

If you're a high-net-worth individual seeking solid returns on your real estate investments, the luxury real estate market is where you'll find phenomenal potential. First is its well-known resilience during economic downturns with stable returns overall.

Aside from the returns themselves, investing in luxury real estate can be spread across locations and countries. Not only is it a great way to diversify your portfolio, but unlike investing in other assets like art or stocks, a luxury property can be used and enjoyed. Imagine effectively earning money while you sip cocktails on your Dubai balcony overlooking the Persian Gulf and the Burj Al Arab.

Real Estate Investing Trends for High-Net-Worth Individuals

Real estate investing has long been a key driver of capital growth among affluent investors, and the reasons for this are easy to see. It’s a tangible asset that offers a bit more security than stocks, which are subject to wild fluctuations in the market. It’s an easy way to diversify your investments by choosing different properties. It can offer stable rental income, and many locations offer tax advantages for real estate investing. 

This last point is especially true in Dubai, which doesn’t impose property tax, capital gains tax, or income tax on rental income. It also has a large luxury real estate market that is attractive to affluent investors.

We've recently seen high-net-worth individuals looking further afield for higher rates of return on their real estate investments. Notable international locations include places like Southeast Asia and the Middle East.

What's more, some high-net-worth individuals are concerned about their carbon footprint. The right investment in green building projects can help offset this and give you peace of mind while also building your wealth.

The Search for High-Return, Off-Plan Properties

An off-plan property, as mentioned earlier, is one that’s not yet built, but it can offer significant returns. Since the project is in the initial stages, you'll pay a lower entry price, meaning your return on investment is greater. These lower entry prices could be the result of a pre-build discount or preferential pricing for early investors. We’ve even seen many of them offer staggered and flexible payment plans, meaning you can watch as the project is completed and continue investing at different stages of development.

Investing in a luxury off-plan property gets you in on the ground floor while being able to charge premium rental prices later, maximizing your return on investment. 

How to Access Exclusive Off-Market Deals

Gaining access to these lucrative off-market real estate deals is more complex than you may think, even for high-net-worth individuals. In this market, it’s truly about who you know, not just if you have the cash. 

As they say, networking is everything, and if you’re seeking the best returns, you need to be able to find the best deals. Joining a private property club such as Platinum Property Club gets you access to the people who have these properties that you can’t find anywhere else. You’ll also forge connections with other high-net-worth individuals, such as yourself, and discover high-value properties before they hit the market. 

Lastly, as a member of Platinum Property Club, you’ll also get professionally curated, lucrative listings to consider when securing your future.

How the Market for Off-Market Properties Is Changing

In the last three months, we’ve seen an increasing trend of off-market properties being sold. In fact, the year-over-year change is more than 900%. But why is this happening, and what is its impact on high-net-worth investors?

Overall, this change is being driven by market factors and as a management of risk. Locking in a favorable price for a premium property in 2024 is a great strategy, as when interest rates come down, and borrowers can obtain pricier mortgages, property values will continue to rise. 

But this has also impacted high-net-worth individuals by increasing competition for top-tier off-plan properties. People with the money to spend are snapping them up quicker than before, which means it's becoming more difficult to find good deals. However, the price of access to a trade network like Platinum Property Club more than pays for itself with the finalizing of just one good deal. 

Potential Risks and How to Mitigate Them in Off-Plan Property Investments

Of course, as with any investment, there are potential risks, and off-plan properties are no different. Investing early may grant you a great price, but that also means the project—since it’s not yet built—could be subject to delays. The developer could hit a wall with funding or other financial issues, there could be zoning restructuring or permitting matters with a local government, and perhaps design changes will need to be implemented as a result. 

Mitigating these risks is about doing your due diligence. Make sure you research the developer and the previous projects. Were those projects completed on time and to specifications? Ensure that the developer has all of the necessary permits before you invest, and most importantly, have a legal expert scrutinize contracts before you sign.

Final thoughts

Off-market and off-plan properties offer incredible value and opportunity for high-net-worth individuals. The benefits of exclusivity, resilience to market fluctuations, and high rates of return should make you perk up and take notice of what you could be missing out on. 

However, exploring off-market properties as part of your real estate investment strategy is more complex than checking a listing of available opportunities. Platinum Property Club can help you gain access to Dubai property deals you wouldn’t otherwise come across, and our experienced specialists can help guide high-net-worth clients through the process, avoiding pitfalls from legal issues and vetting developers. 

If you’re interested in growing your wealth quickly, sustainably, and with minimal risk, contact one of our representatives today to see how we can help.