Originally Posted by
TBM-Legend
Would you rent a property that wasn't available?
Is that a good analogy? Prepayment is a feature in lots of financing deals to get things built. An Off The Plan apartment usually requires a deposit & purchase commitment, enabling the builder to take a certain number pre sales to the bank get the actual construction financed, usually with some sort of discount or other advantage (no stamp duty). In return you get an IOU for an apartment where there is a currently a vacant block. Both sides can gain out of such arrangements.