"Pre-selling" properties refer to developments that have been put on the market even before they were ready for occupancy. Many developers of condominium buildings engage in this practice. In their "pre-selling" phase, they sell their units well before the development itself is ready for occupancy -- during the construction phase, for instance, and sometimes during the planning stages, even.
Novices to the industry might ask -- why would anyone buy a product that has yet to exist? Seasoned investors and brokers, on the other hand, can respond to this with only one word: incentives. Developers offer perks that package their development as an attractive investment, one worth putting money into during its pre-selling stages. Often, these incentives include cheaper prices, flexible terms, and better options for the buyer.
The primary incentive, of course, is the cheaper cost. Developers sell their condominium inventory at significantly lower prices during the pre-selling stage. It encourages investments and buyer interest. Ideally, with pre-selling discounts, you can save a lot more money and then sell the product at a much higher cost a few years down the road. Additionally, developers may also give discounts on downpayment, flexible payment schemes, and in-house financing options.
During the pre-selling stage, you may be able to choose the floor and exact location you want your unit to be in. Some developers also allow you to inspect construction progress on the unit itself, and ask for allowable adjustments and improvements.