10 Steps to Buying Pre-Construction Condo
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Despite being in a pandemic, the condo market across GTA continue to be one of the hottest in the housing market. Many condo projects and developments are popping up and if you’re interested to buy, then you should know the step-by-step process to make your home purchase as a move-in or investor a success. Here are the 10 steps you should know in buying a pre-construction condo.
1. Research on builder’s track record by asking these questions. How long have they been in the business? Have they completed all past projects? What materials are they using in their projects?
2. Hire an agent who has knowledge and experience in condo projects. Getting a VIP or Platinum agent is even better since they have a strong track record of the builders plus priority access to project launch before it’s open to the public.
3. Review the complete package given to you on the launch date. The package includes brochure, floorplans, pricing and incentives the building is offering such as discounted parking, locker and capping development levies. Capping development levies means putting a limit on development charges you need to pay over time.) It’s best to take advantage of the incentives upon launching which is first come first serve basis.
4. Check out the building amenities and see if it matches your current lifestyle and needs. Some condo building amenities are gym, kids play area, party room, outdoor lounge, community park and so on.
5. Sign the agreement to purchase and sale which states the deposit payment, intervals, description of the unit, parking and locker unit you purchased, occupancy date, Tarion home warranty and assignment provision. The condo assignment provision will indicate whether you are allowed to sell the contract/agreement to another buyer before closing date.
6. After signing the agreement, there is a 10-day cooling off period. Within 10 calendar days, you have the opportunity to review the agreement with your lawyer and if you are not satisfied or later change your mind, you can cancel the deal without any penalties. After the cooling off period has passed, the deal will be final.
7. Decide on the interior of your condo by choosing from the colour choices for your unit. This takes place between the signing of agreement and possession of the unit.
8. A pre-delivery inspection will be done by the builder’s representative prior to handing you the key to your unit.
9. Wait for interim occupancy - the time when the builder gives possession of your unit but does not close the purchase since the building is not yet fully completed and registered.
10. The last step is the closing of purchase after the building is registered. Upon closing, condo ownership is transferred to buyers.
These are the important steps you need to take when you decide to buy a pre-construction condo. In pre-construction, it will take reasonable time to complete the process from start to finish, but good thing is you don’t have to go through it alone.
If you have any questions or need help buying your own condo, I can help. You can contact me at 647-834-9928 or send an email to email@example.com