Resale or pre-sale: which should you buy
Buying what already exists (resale or new-built) or buying on paper during construction (pre-sale). Short answer: if you need the property within a year and want to touch what you buy, resale; if your horizon is long and you seek a better price and staged payments, pre-sale, with the right developer.
| Resale / new-built | Pre-sale | |
|---|---|---|
| Price | Finished market price | 10% to 25% below the expected final price |
| Payments | Cash or credit, all at closing | Staged by construction progress (installments) |
| Delivery time | Immediate: you sign and it is yours | 18 to 36 months of typical construction |
| What you see | Existing: you touch it before buying | Renders and a model unit: finishes can vary |
| Main risk | Physical condition and hidden arrears | Delays, changes and developer risk |
| Appreciation | Already realized in the price | Captured at delivery: you build it |
| Move-in costs | Property tax, utilities, maybe renovation | Trust and deed costs; brand new |
| Ideal for | Living or renting it now | Long horizon and better price per m² |
Areas in detail: Active pre-sales in my pre-sale portfolio; the full guide at Pre-sale or immediate delivery?
- You need to live in or rent it within a year
- You want to see and touch before buying
- You prefer known risk (physical condition)
- Your horizon is two years or more
- You seek a better price and staged payments
- You can wait for built-in appreciation
Resale vs pre-sale
Is buying pre-sale in Puerto Vallarta risky?
Risk exists and is managed: a developer with verified past deliveries, current permits, a contract with dates and penalties, and money in escrow or trust. My due diligence guide lists exactly what I verify before recommending a pre-sale.
How much do you save buying pre-sale?
Typically 10% to 25% below the expected final price, plus monthly payment plans during construction that substitute bank financing. The real saving depends on the cycle point at which you enter.
Can I rent out a pre-sale before delivery?
No: it does not exist yet. What you can sometimes do is sell your position before delivery if the contract allows assignment, capturing part of the built-in appreciation.