5 points to know about primary selling and resale choose what suits you

Amal Ali 12 Jan 2023

The real estate market is one of the largest sectors that control the movement of the economy in every country. Contrary to what it may seem to some, the real estate sector contains many details and factors that must be considered and studied, whether you are a customer looking for real estate or an investor who wants to expand your business.

Today’s article will highlight a very important part that directly affects the buying and selling process, and customers are often confused at this point. Therefore, we will discuss with you in the following paragraphs the difference between primary selling from the developer and secondary selling, or what is called the "resale" market

If you are interested in knowing more about the real estate sector, you can always browse Inland's weekly articles, and you will find something useful. Take a look at these topics:

Before entering into the details of the advantages and disadvantages of each of the primary selling or resale, let us initially put a simplified explanation and definition of each of them.

1. What is primary selling?

Quite simply, primary selling is when the customer or investor buys the property directly from the developing company of the project or through real estate marketing companies that represent and on behalf of the project developer. Thus, the customer becomes the first owner of the property.

2. What is resale selling?

As for resale, it is when you buy your unit from individuals or the first owner of the property who bought it from the developer before. And thus you will not be the first owner or inhabitant of the property.

Advantages and disadvantages of both resale and primary selling

You, as a customer, when searching for a house for housing or a real estate unit for investment, your greatest concern is to find what you are looking for at a reasonable price. Therefore, before you invest or buy any property, you must first determine your complete needs and strive to set an approximate budget for the amount that you will pay or install. Also, check out these articles:

3. Advantages and disadvantages of direct selling

First, let's start with the advantages that you can enjoy when you buy directly from the real estate developer

Buying from the developer gives you the freedom to choose your real estate unit at any location in the project
Payment and installment plans are attractive and varied, providing you with an opportunity to develop a financial plan that suits you
You can control the finishing of your home because you receive it mostly on the clamshell or semi-finished
If you choose a strong real estate developer, you will enjoy a wide range of luxurious services and facilities within the projects, such as (subscriptions to clubs, sports, and entertainment facilities)

Disadvantages of direct purchase from real estate development companies

If you deal with a real estate development company, you will find yourself limited to choosing between the company's group of projects only
Majority of the time the projects and units offered are under construction, so you will not be able to view the unit on the ground
Delivery within a time ranging from 2 to 4 years
Mostly the units are on core & shell or semi-finished, which means extra effort and cost

Tips before buying from a real estate developer

Make sure to get as much detail as possible
Take a look at the company's real estate portfolio and follow up on the results of its previous projects
Check the delivery date
Examine contracts well before signing and review all clauses
Inquire about after-sales services to ensure a comfortable experience during and after your purchase of the property
Think about hiring a real estate consulting office, where it will present many projects that suit you and will not be limited to one real estate developer

4. Advantages and disadvantages of resale

First, the advantages of buying from the real estate resale market

The biggest advantage is the ability to receive the unit and move immediately once contracts are signed
You will be able to view and inspect the property or unit on the ground, which helps you to decide your position
You can get a special deal that some units are offered at unprecedentedly competitive prices due to the owner's desire to travel, immediate relocation, or other reasons.
In most cases, the units in the resale are fully finished, given that they were previously inhabited, but they may cost you some amounts for modifications or changes.

Secondly, the disadvantages of buying from the resale market in real estate

You can easily lose your deal if you slow down in decision-making, as in most cases one unit is at stake and the competition is high
It is possible to be deceived if you are not sufficiently aware of the real estate market prices and did not seek the assistance of an expert to inspect and evaluate the price
The negotiation process can be long because the real estate owner will search for the best offer to make profits
Most of the time, the owner of the unit wants the customer to pay cash, and if there is an opportunity for installments, it will be over a short period, not like the extensions offered by real estate development companies.

Tips before buying from the resale market

On-the-ground inspection is one of the most important steps that you should focus on in the resale market. You must inspect the property well and make sure that it is free of defects
You must be prepared to enter into a major stage of negotiations, especially if the unit you want to buy has a high demand
If your search for a property is limited to the resale market only, it may take a long time to reach what you are looking for
The use of real estate marketing offices will save you a lot of effort and time, as they have the data of many real estate owners who want to sell them.
Prepare to pay most of the amount in cash
Ensure the validity of contracts and transfer of ownership. For more information on this point, you can read this article

5. Which is better, buying from the developer directly or buying real estate from resale?

We cannot answer this question definitively and directly because this choice is ultimately up to the customer, as he is the only one who can determine the best product for him. Therefore, we always advise you to remain open to various options and search both in the direct sales market as well as resale. And it will make it easier for you to search with the help of one of the real estate consultants or real estate development offices, where the specialist can display everything available to you on both sides.

It will make it easier for you to know what suits you best by selecting each of the following points:
The time in which you wish to move to the new property
Your financial plan and what is the limit that you can pay as a down payment or in installments
The geographical area in which you wish to live or invest
Are you looking for a residential, administrative, or commercial property?
The specifications of your property that you are looking for and whether it is available in the resale market or new projects

If you have any questions regarding the search for real estate, you can contact us directly in Inland, and we will provide the highest level of free real estate advice and we can help you reach what you are looking for. All you have to do is call this number 01003366453

You can learn about the most important real estate developers we work with and their projects from our website.