Why do prices rise during construction?

Initially, the developer needs to sell a certain number of properties to begin construction. The price is therefore very competitive at this stage.As more properties are sold, the developers sales requirements are met and they can increase the price of the remaining properties. This affects the value of your property.The next significant rise is usually when construction begins. During the build the property price will usually be brought into line with true market value which usually means regular smaller increases in value.Therefore you are benefiting greatly from the property initially being sold below market value and then during construction participate in a buoyant market.