2 things to consider if you want to buy Pre-construction properties in Toronto
Wednesday Mar 14th, 2018Share
Thinking about buying a new home or property? Why not invest in something which allows you to get your dream home at a fraction of the cost? Invest in Pre-construction properties in Toronto.
It is certainly exciting to buy a new home or property! However, there are all the payments to give. But did you know that there is such a thing as purchase of pre-construction properties? In this blog, you’ll see 2 useful tips which will allow you to pick your dream Pre-construction properties in Toronto with care and without risk.
1) Buy properties from developer with a positive track record: This advice seems to be obvious and laced with common sense, right? However, it is important and requires saying once more. Let’s say that you have just bought a pre-construction property from a developer whom your friend or colleague has recommended. You have paid at least 50% of the money upfront and wait till the construction is over and you can walk into your new home. Suddenly you hear that the developer is facing jail time due to some legal mishap regarding the property, which is to be shut down indefinitely as well. Imagine your plight! In this care your money will go to waste. Or what if the developer just tries to cheat you deliberately? A lot of things can happen if you do not know the developer well or if there is no trust between the two of you. Thus, before making any deal with the developer looking into his history. How many properties has he managed and how many clients or customers has he satisfied. Does he have a good track record? Many such professionals offer flashy and hard-to-believe deals to attract you into a scam. Stay away from them. The good ones prefer clients who understand and appreciate the value of their property and wish to invest in it.
2) Don’t buy to flip: What does this even mean? Flip the property? How can you flip real estate Pre-construction properties in Toronto? Well, it is a technical term and there are several meanings to it. Let us start with what flipping is not. It is not buying a home cheap and selling at a high price for profit. This means that the buyer makes a purchase with the sole intention of buying and then selling at a profit. The second type of flipping is when the customer or the buyer does not wish to give the remaining deposit for the property, but instead gives it back to the developer as a property resale value before the construction is over. This way, the customer gets a profit. However, it creates a lot of problems for the developers and is today highly discouraged. Today, some developers require customers to give a 50% down payment, a practice which is effective in keeping out those looking for short term profit.
You have thus seen two fantastic tips to allow you to choose Pre-construction properties in Toronto without risk, fears and problems.