Investing in an off-plan apartment in Paraguay isn't just about choosing the right project or the right neighborhood. The way you Negotiate your payment plan can have a direct impact on your profitability.

At Aura Capital, we always try to negotiate—provided the developer agrees—that a portion of the purchase price be paid only upon handover of the keys.

This strategy offers several advantages, both for investors who wish to resell before delivery and for those who want to keep their apartment and rent out.

Why negotiate a deferred payment when the keys are handed over?

In most real estate programs in Paraguay, payment is divided among:

• a reservation deposit; ;
• milestones during construction; ;
• a final balance upon delivery.

Depending on the developers and the projects, this final payment can amount to 10 %, 20 %, or even more of the property's price.

The larger this portion is, the more attractive your investment can become within certain wealth management strategies.

You tie up less capital during construction

When you buy an off-plan apartment, your goal is often to benefit from the property’s appreciation in value as construction progresses.

If a significant portion of the price isn't due until the keys are handed over, you'll be tying up less capital for several years.

This means you tie up less cash while still benefiting from the appreciation in the value of the entire property.

This can improve the return on your investment.

Reselling before delivery can offer a better return on investment

Many investors choose to resell their contract before the apartment is delivered.

This strategy is particularly attractive when the real estate market is experiencing strong growth.

Let's look at a simplified example.

You're buying an apartment in 100,000 USD.

The developer agrees to the following allocation:

• 30 % during construction; ;
• 70 % upon key handover.

So during construction, you're only investing 30,000 USD.

A few years later, the property is worth 120,000 USD.

If you sell your position before delivery, your capital gain is 20,000 USD even though you've only capitalized 30,000 USD.

The return on the capital actually invested is therefore much higher than if you had already paid the full price.

Of course, this strategy depends on the terms of the contract, any authorization to sell, and market conditions at the time of resale.

No More Room for Negotiation When the Keys Are Handed Over

Deferring part of the payment also offers another benefit that is often overlooked.

At the time of delivery, the developer generally wants to quickly finalize sales and collect the remaining balance.

This sometimes gives you additional leverage to negotiate certain improvements before making the final payment.

Depending on the project, it may be possible to obtain:

• better plumbing fixtures; ;
• a higher-end appliance; ;
• upgraded cabinets; ;
• higher-quality finishes; ;
• additional equipment.

Each developer has its own sales policy, and while these opportunities are never guaranteed, they do come up regularly in certain projects.

A strategy that requires effective negotiation

Not all developers accept the same payment schedule.

Some impose a fixed schedule.

Others are much more flexible, depending on:

• the progress of the construction project; ;
• the number of units still available; ;
• the investor's profile; ;
• the amount of the initial deposit.

That is why it is often possible to secure more favorable terms when negotiations take place before the signing.

Is this strategy suitable for all investors?

Not necessarily.

If your goal is to keep your apartment for many years, a different payment plan may sometimes be more suitable depending on your financial situation.

On the other hand, for an investor looking to optimize their capital, maintain liquidity, or consider reselling before delivery, negotiating a significant portion of the payment to be due upon receipt of the keys can be a real advantage.

However, each real estate project has its own contractual terms, and the ability to transfer a contract before delivery depends on the developer as well as the provisions set forth in the purchase agreement.

How Aura Capital Supports Its Clients

At Aura Capital, we analyze each real estate project before presenting it to our clients.

Whenever possible, we negotiate directly with developers to secure the most favorable payment terms, while taking your investment strategy into account.

Our goal It's not just about finding a good apartment in Asunción, but also about optimizing the terms of the purchase to improve your potential return on investment and your flexibility throughout the project.

Whether your goal is to generate rental income, whether you're preparing to resell before delivery or building wealth in Paraguay, the structure of the payment plan can make a real difference.

FAQ

Is it always possible to negotiate a large payment when the keys are handed over?

No. It depends on the developer, the project, the stage of construction, and the market conditions.

Can you resell an apartment before it is delivered in Paraguay?

Some developers allow the contract to be transferred before delivery, while others regulate or restrict this practice. It is essential to verify whether this is possible before signing.

Our Section Why Invest in Paraguay explains the current challenges facing this rapidly developing country.

Does this strategy increase profitability?

It can improve the return on actual invested capital, but it does not guarantee a capital gain. The capital gain depends on trends in the real estate market, the project, and the resale conditions.

Is it possible to negotiate the finishes for your apartment?

Depending on the developer and the stage of the project, it is sometimes possible to request certain upgrades or options before receiving the keys.