Pre-construction deposit structures compared: what extended deposits mean for you
The deposit structure decides how much cash you need and when. Two projects at the same price can feel very different to your bank account.
Common structures
- Condos: often 15% to 20%, paid in instalments over the first 12 to 24 months, with a final instalment sometimes at occupancy.
- Freehold towns and detached: often 10% to 20% over a shorter period, sometimes within the first few months.
- Extended deposits: a launch incentive that spreads the same total over a longer time, or lowers the total.
Example (illustrative only)
| Standard | Extended | |
|---|---|---|
| On signing | $5,000 | $5,000 |
| 30 days | balance of 5% | balance of 2.5% |
| 90 days | 5% | 2.5% |
| 365 days | 5% | 5% |
| 540 days | none | 5% |
How to choose
- List your savings by month and match the schedule to it.
- Keep a buffer for closing costs on top of the deposit.
- Ask whether the builder accepts post-dated cheques or a deposit-insurance product.
- Read how your deposit is protected. See deposits.
Extended deposits are often available only at VIP launch. Register for VIP access or book a call.
What does this mean for you?
Book a free 15-minute call and Dinesh will walk you through how it affects your plans.
