Buying pre-construction condos is becoming more and more of a trend in Canada. Toronto has the highest amount of condos in North-America but the GTA is catching up now, as well. You can see many empty lots with the premise of a towering condo building to be built on the spot. These dwellings usually get sold in no time.
So is it a good idea to buy a pre-construction condo? Yes! The amount of money you have to put down is significantly lower than that of a resale building’s. It is definitely a great real estate investment, as you can make a nice profit on it once you decide to sell your condominium. Thousands of people opt to renting a condo, too, especially in Toronto. Buying a pre-construction condo can pay off either way.
Tips for Buying a Pre-Construction Condo
1. It’s a Long-Term Investment
Be prepared that the money you are paying for your pre-construction condo will be tied down for at least a couple of years. Most condos that are built in Toronto or even in other parts of the GTA are completed quickly. But some can get caught up in delays due to unforeseen events like an underground obstacle or financial problems.
2. Find a Good Developer
You are giving a good amount of your money to a developer for this future condo, trusting him that he will complete your condo as planned. Do your homework and ask friends or professionals first who have dealt with developers or know someone who is reputable in the industry.
3. Know the Area
The better or more promising an area is, the more you can expect to profit from your condominium after it’s completed. Examine the area by looking at nearby pre-construction condos, stores and public establishments such as schools, libraries or even the public transit. The more central your location is, the more attractive your condo will be. Pre-construction condos in the downtown area of Toronto are likely to be close to the main public places.
4. Get the Floor plan
Get a floor plan to see what condo you are actually buying. Demo condos usually come with additions and a higher ceiling to attract more buyers. Knowing the exact measurements of your floor plan can definitely put you in a better position in the future and you will be more prepared when it comes to the completion of your condo.
5. Know the Risks
As mentioned before, the various barriers that might delay the completion of a condo can expand to bigger problems, to the point where the condominium never gets built. Buying an apartment that is not yet there is a chance taken with your hard-earned money. Being prepared for every scenario is the best you can do.
Buying a pre-construction condo in Toronto or the GTA requires a different kind of approach. To ensure your security when it comes to handling the paperwork and other legal issues, it’s best to pair up with a professional real estate agent. Call Your Community Realty today to inquire about your liabilities.