7 Misconceptions Of Buying A Pre-Constructed Condo
Have you considered a pre-constructed condo but still not sure if this type of investment is right for you? It’s easy to get confused when it comes to pre-construction real estate. There’s a lot of misinformation and myths about buying property before building has been completed. With the condo market on the rise here in Toronto and the surrounding area, we’re here to break down these myths to help you make an informed and smart decision about buying a pre-constructed condo.
Don’t let these 7 misconceptions hold you back:
1. Pre-Construction Condos Are An Unaffordable Investment
Perhaps the biggest misconception about pre-construction real estate is that it’s not affordable. Even though the market for single-family homes is out of reach for many home buyers, purchasing a pre-constructed condo is a great option. When you buy property while it’s in the early stages of development, you can take advantage of lower prices that will appreciate after the condo has been built. Buying before construction begins means big savings to you.
2. You’ll Need A Huge Deposit
Many buyers hold back from pre-construction condos because they think they need to come up with a huge deposit. In fact, one of the biggest benefits to buying pre-constructed condos is that you don’t have to pay your deposit all at once. You can spread out your down payment over a period of months, giving you time to save for the full deposit.
3. Long Wait Period Before You Can Move In
While you may have to wait a few months before you can move into your new home as it’s being built, don’t listen to the myth that wait periods for pre-constructed condos are usually delayed. Delays are costly for developers and they’ll do what they can to stick to their schedule to complete construction on time.
4. There’s A Risk Of Losing Your Deposit
One of the reasons that buyers shy away from buying a pre-constructed condo is they feel the risk is too high. What happens if the developer folds on the project? Do you risk losing your deposit? If you buy your condo from a top-rated and trustworthy developer, your purchase fee should include protection of your deposit in the event the project folds.
5. You Don’t Really Know What You’re Buying
It can be stressful buying a condo without knowing what you’re going to get once you’re handed the keys. Take your time looking at floor plans and available final finishes for the pre-construction project. If possible, view similar condos built by the same developer. This will give you a good idea of what you’ll be getting when construction is complete and you have those keys in your hand.
6. Surprise Closing Costs
Another big concern for buyers is hidden and surprising costs at the time of closing. What happens if you’re handed a bill you’re not expecting? The reality is that you’ll be aware of all closing costs well ahead of time. Reputable developers make sure you know all the costs of purchasing your condo, such as administration costs, legal fees, and transfer taxes. They’ll also make sure you have the full picture about maintenance fees and utility costs for your condo unit.
7. Developers don’t care
The truth is that developers care about their buyers. If they want to keep their successful reputation, they need to provide their buyers with great client service. A top-rated builder will be there to answer all your questions and walk through the entire process of buying a pre-constructed condo.
Ready to buy your new home? Then it’s time to call Parkhomenko for professional advice and information about pre-construction condos.