5 Tips for Starting Your Pre-Construction Condo Search
By All Access Homes
February 12, 2024
Shopping for a pre-construction condo is exciting but can be equally daunting. Our goal is to alleviate any anxiety you might have by simplifying the process. This guide breaks down essential steps and considerations, ensuring you find a home that perfectly aligns with your lifestyle and needs.
Choose the Type of Home That Meets Your Lifestyle Needs
Important lifestyle decisions play a big role in the new home-buying process. Keep in mind that pre-construction condos/homes will not be ready for 3-5 years or more, depending on the development’s schedule. When deciding, consider your lifestyle preferences for the next 3-5 years or more.
Some questions to consider are:
- Do you prefer being close to downtown or outside the city?
- Is a home office important to you?
- Where do you want your children to go to school?
Two major types of new homes are available—freehold and condominium—each with different construction timelines and warranty coverage, including townhomes and condo units.
Start with your finances. Obtaining a mortgage pre-approval is the first step in purchasing a home. Before beginning your search, review your finances to determine what you can afford. Meet with a financial representative to determine a mortgage amount you can comfortably afford. This helps you understand the types of homes within your price range and shop confidently, avoiding falling in love with a home you cannot afford.
Work with a Realtor Experienced in Pre-Construction Sales
In any deal, having a strong team on your side is essential. Work with a realtor experienced in pre-construction home sales. Remember, the builder’s sales representative at a project sales center represents the builder's interests.
Having your own realtor, who is experienced in pre-construction sales, ensures your interests are protected. They can help you navigate and negotiate pre-construction contracts, identify efficient floor plans with good investment potential, and assist with unit assignments, as builders usually do not allow listings on the MLS system.
Our team at All Access Homes with Royal LePage are developer-approved platinum realtors, offering exclusive access to new project launches. Most importantly, a buyer’s agent is a free service to you, as the builder or seller compensates them.
Research the Builder
Know who you are in business with. Every investment opportunity carries risks, such as project cancellations or construction delays. Invest with a builder who has an excellent track record of sales, construction, delivery, and execution.
Research builders through Tarion’s Ontario Builder Directory, leveraging your realtor’s experience, visiting the builder's website for information on their teams, awards, past and upcoming projects, or visiting their completed condo buildings to assess their workmanship and product quality.
Talk with a Real Estate Lawyer
When you sign a pre-construction condo agreement of purchase and sale, you have a 10-day cooling-off period to consider the transaction and perform due diligence. We highly recommend having the agreement reviewed by a lawyer specializing in pre-construction contracts. This is crucial for highlighting any hidden fees and costs in the contract, understanding closing costs, and identifying any unusual clauses or regulations by the builders.
Why Settle for Ordinary When You Can Experience Extraordinary Living?
Looking for a home for yourself or as an investment property is exciting but can be overwhelming. We are here to help guide you through this process. Please contact us with any questions—we are happy to chat anytime! We are pre-construction experts.