It's all about knowing where to start

Even after some downturn in Greater Toronto Area pre-sale condo market in 2023-2024, we are still seeing interests in good, quality condos by reputable builders. And buying a pre-construction condo is a different from purchasing an existing one, and you need to know the right steps to make your investment a success. So here are the 10 steps:

Step 1: Researching the Builder’s Track Record

Start with researching the builders and their projects. Know who you're buying from. Ask questions like: How long has the builder been in business? Have they completed all past projects on time? What kind of materials are they using? A reliable builder is key to ensuring your investment is safe.

Step 2: Hire a Knowledgeable Agent

Ask your agent if he or she has access to the initial launch. In a new build market such as Toronto, getting pre-sale access gives you a huge advantage. You get the lowest prices and the best units with this first launch since the project is not open to general public yet. 

In 2024, the Toronto area builders have started giving price discounts or cash-backs on the closing as an incentive to buy their units. Sometimes even free parking. These price reductions are substantial. When you have an agent who gets this information directly from the builder it is a big plus in making buying decisions. 

I have covered information about how hiring a Platinum VIP agent can give you a big advantage over other buyers. Click or tap this link.

Step 3: Review the Complete Package

To make a smart condo purchase, carefully review the launch package, which includes brochures, floor plans, pricing, and any incentives like discounted parking or capped fees. 

Step 4: Check Out the Building Amenities

When evaluating building amenities, consider how they fit into your daily routine and overall lifestyle. For fitness enthusiasts, an on-site gym or yoga studio can save time and money on external memberships. Families with children will appreciate safe, designated play areas, while social butterflies might seek out party rooms or communal spaces for gatherings. Outdoor enthusiasts may prioritize buildings with rooftop terraces or nearby parks for relaxation. Ultimately, choose a condo that provides the amenities you will actually use and enjoy.

Step 5: Sign the Agreement to Purchase and Sale

Now comes the serious part. Step five is signing the agreement to purchase and sale. This document will detail everything about the purchase: deposit payments, intervals, unit description, parking and locker units, occupancy date and assignment provisions. Be sure to read through this agreement carefully and understand all the terms.

Step 6: The 10-Day Cooling Off Period

Once you've signed the agreement, step six is the 10-day cooling off period. This is your chance to review the agreement with your lawyer. If you find anything you're not comfortable with, or if you change your mind, you can cancel the deal without any penalties. But after these 10 days, the deal is final, so use this time wisely.

Step 7: Choose Your Interior Design

You will get a chance to shape the aesthetic of your new condo much before your occupancy or closing. You can choose from a variety of paint colours, flooring materials, cabinetry, countertops, and fixtures offered by the builder. This is your opportunity to create a space that reflects your personal style and preferences.

However, as exciting as it is to select the colors and finishes, there are some essential upgrades to consider that can only be done during construction, such as, bedroom ceiling outlets and patio BBQ gas line. These upgrades can add significant value to your condo, both in terms of functionality and resale potential.

Step 8: Pre-Delivery Inspection

This is a crucial step before getting your keys. It allows you to inspect your unit with a builder's representative. This walkthrough is your opportunity to identify any flaws or defects, such as scratched surfaces, faulty fixtures, or misaligned cabinetry. Pay close attention to details like paint finishes, appliance functionality, and the condition of windows and doors. Document any issues with photos and notes, and ensure the builder commits to resolving them before you take possession. This inspection ensures that you're moving into a unit that meets the quality standards you expect.

Note: New build homes in Ontario have a 7-year structural warranty from Tarion Corporation and 1-year builder's warranty.

Step 9: Interim Occupancy

Depending upon your situation, the builder may give you possession of your unit pending registration with the City. This is not final closing. You can move in, but you don't technically own the condo yet. During this period, you'll be paying occupancy fees to the builder up to your final closing. 

Step 10: Closing the Purchase

Once the building is registered with the City, the builder send out notice of final closing date. When you complete the paperwork for the closing and the balance of the purchase price is remitted to the builder, the transaction is registered with the land registry office. This means that your unit is now transferred to you from the builder.

If you have questions and want to discuss with me then please call or text me at 647-834-9928 or email me at [email protected].