Things to know when buying in Toronto.
Toronto is one of the world’s cities that have experienced unprecedented growth in the construction industry. There are numerous brand new houses being erected across the city. If you are looking forward to buying affordable Toronto preconstruction condos, you need to read this article to the end.
Even though the real estate market has skyrocketed in the past few years, you can still find an affordable brand new house in areas like the High Park, and Annex. If you travel to the west or east of the city, you will certainly come across an affordable unit to buy. Toronto has plenty of brand new houses you will love and afford. They range from finished units to Toronto preconstruction condos. The units feature three bedrooms, baths, a drive way, and a backyard. Most of the available units in this area are well kept and few of them need an upgrade.
What to Look For When Buying Preconstruction Condos
When you decide to buy a preconstruction condo, it is important that you get a property that will give you the desired service. Buying a condo that may need to be flipped in a few years may be costly.
If you are an investor who is buying the unit with a hope of reselling, it may be necessary that you buy a property you will be able to sell at a profit as soon as it is completed. Note that there are cases where buyers have been unable to close a purchase just because the location of the unit is unsuitable.
Change in Financial Status
There are many cases where buyers get approved for financing during the initial stages but the lender may refuse to finance the project owing to change in financial status of the buyer.
Tax needs (CRA requirements)
Canada Revenue Agency may impose different rates of taxes depending on the circumstances under which a unit was bought. Because of this reason, it is important that you assess the requirements before you pay for your Toronto preconstruction condos.
Ways to Protect Yourself
Generally, before buying or signing any pre-construction deal, it is important to ensure that you have the right to assign or sell the property before closing. This right has to be negotiated at the point at which the contract is to be signed. Some of clauses to be included should provide for an opportunity to cancel the contract and payment of a stated amount or penalty in the event of a change in life circumstances such as death, loss of employment, serious injury, or incapacitation. Always choose a deal that allows the buyer to cancel the contract or sell the unit before the closing date.