In terms of purchasing a condo unit, many of my buyer clients ask me the better option, investing in a resale or pre-construction unit. The real difference between the two being that one already physically exists and also the other one does not. Deciding which path to take is dependent upon a couple of factors like timeline, motive and capital.
When purchasing a resale condo unit you will find no surprises; whatever you see is what you obtain. You know exactly what you really are entering into that you can physically go to the unit, see what finishes happen to be used, recognize how the management is running your building, etc. Generally speaking, items including window coverings, light fixtures and built-ins are still behind from the sellers that are an additional benefit. Another positive element of buying resale is the fact that a buyer will be able to visit multiple units in various locations before making a decision to find out which one best suits their demands. The down side of resale is that you simply usually are not the very first owner in the unit and a few prep work from the unit is usually necessary before move around in.
On the contrary, when buying Pre-construction Condos, you happen to be essentially buying a concept and never a tangible item because the condo doesn’t physically exist yet. Instead of exploring the unit, you go to the sales center where you purchase away from a floor plan in which you must visualize the area you might be purchasing. The nice thing about buying pre-construction is that you are the initial owner and everything is brand spanking new. When the builder has sold enough units to start construction and construction continues to be completed, it isn’t until years later that you are currently actually capable of move around in. If you are searching to move in to a condo unit immediately or within a limited time period, then resale is the ideal solution but if you are able to wait patiently a few years and also a flexible timeline then pre-construction may be what you are looking for.
The next thing to consider is motive. Precisely what is your basis for purchasing a condo unit? Will it be to live in or flip? When buying a resale condo unit, it is possible to potentially move in immediately whereas if you pick pre-construction you must show patience and flexible because the original occupancy date will likely fluctuate. If it’s a smart investment that you are planning to go into then pre-construction may just earn you that extra cash you are looking for. When buying pre-construction, you buy at today’s market price so depending on the market situation when you buy versus once you sell determines whether you are making a profit or loss.
Finally one of the most important aspects of buying a condo unit is the cost and if you can pay the financial obligation. Either in situation, a payment in advance has to be made. In resale, typically a 5% deposit is provided being a deposit using the offer. According to what has been arranged with the bank, another deposit pays for the bank upon unit closing. This deposit amount can vary from 5% down to 100% down, in which case a mortgage would not be required. When you buy a pre-construction unit however this flexibility is not allowed. The builder has strict deadlines when deposits must be made. Usually a deposit is produced with the first signing from the documents, yet another one upon closing and after that several others in between which usually totals about 25% down.
An apartment can be a great investment as well as a good way to live whether you buy resale or pre-construction. Choosing which route to take depends mostly on the urgency to maneuver but also on the financial circumstances fnurld your reason for buying. In either case take time to determine which route helps make the most sense to suit your needs. raises the resale value of the unit.
Corner units routinely have twice the amount of sun light which an extremely attractive feature for future buyers but avoid oddly shaped corner units. One aspect that is often overlooked when selecting your unit is definitely the actual location from the unit in the floor plan. A unit within close proximity for the elevators can be very frustrating as noise levels are usually high. This brings me to my next little suggestion. Steer clear of the garbage shoot! Many purchasers happen to be disappointed to understand that after they may have moved to their condo they may be constantly bothered by the noise of the garbage falling on the shoot. It has shown to be a larger problem for residents on lower floors especially when the garbage shoot runs behind their laundry room, which they typically do.
Always ask your profits representative to show you the device location within the entire floor plan. When choosing your floor plan don’t forget to consider the closet and storage space. Builders today are building taller condos however actual unit sq footage is getting smaller. With smaller sq footage, large closets and storage spaces come in handy, particularly if having a locker is not an option.