Jul 10 2013, 10:31 AM
QUOTE(Fat3Twister @ Jul 9 2013, 12:54 AM)
DIBS is a marketing gimmick, it's like you don't have to pay anything until completion to attract buyers especially investors which the interest's already factored into the selling price.
DIBS don't really help people who can't fork out high upfront payment as the interest is to be paid monthly on the loan disbursed which for property under construction, the loan amount is disbursed according to percentage of completion. It's the discount/rebate that matters.
Marketing gimmick is true because buyers don't understand how DIBS work.DIBS don't really help people who can't fork out high upfront payment as the interest is to be paid monthly on the loan disbursed which for property under construction, the loan amount is disbursed according to percentage of completion. It's the discount/rebate that matters.
Its a good scheme and helps defer some of the upfront payments.
Have to fork money for 10% down payment + interest during construction + misc fees. On top of that there is double whammy of monthly house rental while waiting for property to complete
Die standing every month, with DIBS don't suffer so much.
Once the property is complete channel monthly rent into loan repayment. Give buyers some breathing space.
Quote
0.0156sec
0.32
7 queries
GZIP Disabled