Off-Plan Payment Plans Explained: 60/40, 80/20 and Booking Credits

An off-plan payment plan sets out when the buyer must pay the agreed property price and which conditions trigger each amount. A headline such as 60/40 or 80/20 summarizes the split; it does not replace the complete schedule.

For a broker, the plan helps explain affordability. For a developer, it affects sales, collections and cash planning. Both need the same approved version, including booking treatment and the evidence required for a milestone.

#Read the ratio, then read the schedule

A 60/40 structure commonly means 60% before handover and 40% at handover. An 80/20 structure commonly means 80% before handover and 20% at handover. The exact documents determine whether booking is included in the first portion and how it is distributed.

Two projects can advertise the same ratio while requiring cash at very different times. One may use fixed calendar instalments; another may require verified construction milestones. A third may include special terms for certain units or a limited-time offer.

Ask for dates or defined triggers, not only percentages. A payment due on a fixed date does not automatically move because construction is delayed; that depends on the agreement and applicable requirements.

#Worked comparison on an AED 2 million property

The following examples are illustrative schedules, not actual project offers. They assume booking is included in the pre-handover portion and exclude taxes, registration and other fees.

The 80/20 schedule reduces the final balance but requires more cash earlier. The 60/40 schedule leaves a larger handover obligation. Neither is inherently better without considering the full price, funding availability and timing.

Do not assume a future mortgage, resale or rent will cover the final amount. Those outcomes depend on eligibility and market conditions rather than the wording of the payment ratio.

#Distinguish four kinds of due rule

A construction estimate is not necessarily evidence that a contractual milestone occurred. Keep the forecast and the authorized milestone confirmation distinct.

#Credit an EOI deposit without counting it twice

Suppose the booking obligation is AED 200,000 and the buyer has already paid an AED 20,000 EOI deposit. If the accepted terms credit that deposit toward booking, the remaining amount is AED 180,000.

The statement should explain the relationship between the EOI receipt and the booking obligation. Do not subtract it from the price as a discount while also applying it as a payment. Do not assume an EOI deposit is refundable or transferable to another unit without the relevant terms.

See EOI versus reservation for the difference between interest, allocation and a confirmed unit-specific commitment.

#Preserve the plan the buyer accepted

A project offer can change after a campaign ends. Existing buyers should retain a record of the price, parties, currency, fees and plan revision accepted for their deal.

If a change is agreed later, record a new approved revision with its effective date and effect on future obligations. Do not silently replace the original plan and make old receipts appear inconsistent. A selected unit can also have an authorized exception; it should be traceable rather than hidden in an email attachment.

This is one of the strongest lessons from real-estate systems work: a project-wide template is reusable configuration, while the buyer's accepted agreement is transaction evidence.

#A plan, an invoice and a receipt are different

A schedule describes the obligation. An issued receivable document communicates an amount due under the relevant rules. A receipt records money received. An application shows how that receipt reduces a particular outstanding obligation.

An uploaded transfer screenshot may support a review but should not automatically establish cleared funds. Likewise, a payment marked received does not explain which instalment it was applied to.

A useful buyer statement shows scheduled amounts, issued amounts, due dates, verified receipts, applications, corrections and outstanding balances. A refund should remain linked to its original evidence. Avoid silently rewriting a payment into a different currency or another buyer's deal.

#Keep commission release separate

A buyer collection can satisfy a condition in the broker's agreement, but it does not make the brokerage transfer happen. Commission calculation, release approval and actual settlement each need their own evidence.

For example, receiving a booking payment might release half of an earned commission under one agreement and none under another. Use the commission management guide to define that relationship, and ensure sales targets count the correct business event rather than every downstream accounting record.

#Connect payment-plan information to the sales workflow

Nogbase connects project information and sales workflows so developers and brokers can discuss the offer in the context of the relevant units and transaction. Keep the approved payment plan, booking conditions and sales records aligned as a buyer progresses from interest to reservation.

Nogbase does not hold customer funds or operate escrow. Connected-provider collection and externally evidenced receipts remain distinct from Nogbase subscription billing and from broker payout execution.

Bring an actual approved plan, a booking credit and one revised agreement to a workflow discussion. Ask the team to show that every schedule totals correctly and every receipt can be explained.

#Further reading

haus & haus: Off-plan payment plans explained for investors, reviewed on 9 September 2026, provides the buyer-side context for common ratios and funding considerations. This guide adds the developer's recordkeeping and workflow perspective. Actual documents and applicable requirements govern each transaction.