How to Successfully Buy Preconstruction Condos in Toronto
Developers are known to play a little game when setting up for their initial launching of the pre-construction condo project and one very important piece of information is… the developer does the launch in generally five different stages
Developers Dilemma
Did you know that developers cannot move forward with obtaining their OWN financing for construction until they sell at least 75% of the units? This is just one of many bits of vital information that you should know how to successfully buy pre-construction condos in Toronto!
This is a key point as to why the price tag on a pre-construction unit is lower than at the time that the condo is completely built, and units go up for sale. This is also why a buyer only needs a good down payment to secure a unit in a preconstruction condo without having to flip the mortgage loan too…that can wait until the condo is completed.
Developers are known to play a little game when setting up for their initial launching of the condo project and one very important piece of information is…the developer does the launch in generally five different stages. As you may have already guessed, the best and most desired units are the top picks for buyers and the method for early sales usually runs as so:
- Preference buyers (developers tend to let family & friends have first pick of units)
- A ‘Platinum’ Launch (a select group of top agents are invited to work with the developer for the best prices)
- The Launch for VIP’s (a few hundred real estate agents are invited to help sell remaining units)
- All Agents In (any agents can now help sell the remaining units)
- Opening for the public (anyone can make an offer on the remaining units)
- Bend It to Your Favor
First Buyers Are Getting The Best Prices For Condos
Now that you know that the first buyers in usually gets the best prices and at the public opening, units are priced higher and are less desirable then, say, the top floor(s) units. If you can at least get in with your realtor at the Platinum launch or the VIP launch, you have a much better chance of saving some substantial money (timing could be everything and could cost you a difference of $100,000)!
Location sometimes has to do with essential timing and pricing on pre-construction condos; in other words, the location could dictate the starting pricing (which could be set higher) and then lower, staying consistent for the remaining launch stages. This basically means you could pay a much higher price then someone that came in a little later for the exact same unit size & style.
Sugar Wharf Condos
Streamlined Storage Solutions for a 24×32 Workshop
In this blog post, we discuss the importance of streamlined storage in a 24×32 workshop and how it can contribute to a more efficient and organized workspace. We explore innovative space-saving ideas, such as utilizing vertical spaces and incorporating portable tool stations or fitted cabinets. Additionally, we highlight the role of steel garages in providing a sturdy and customizable base structure for streamlined storage. We also emphasize that these concepts can be applied to workshops of various sizes and budgets. By prioritizing streamlined storage, you can create an ideal workshop that maximizes productivity and safety.
Effective Warehouse Management: Strategies for a 50×60 Space
In today’s competitive market, effective warehouse management is crucial, especially when dealing with a limited space like a 50×60 area. This article provides insights and strategies for managing a 50×60 warehouse efficiently. One important aspect is considering the type of building, such as a 50×60 steel building kit, which can streamline operations and save costs in the long run. Utilizing space to its fullest capacity, optimizing the warehouse layout, and adopting modern technologies are key strategies for success. Additionally, investing in a steel building kit offers durability and flexibility in customization. By implementing these strategies, businesses can maximize their warehouse operations and plan for future scalability.
DIY Projects: Transforming a 24×30 Space
Are you ready to unleash your creativity and transform your 24×30 space into something amazing? DIY projects in this size space offer countless possibilities, from a stylish man cave to a functional garage or even a home theater. With the right plans and enthusiasm, you can maximize the use of this space and create something truly unique. Whether you choose to build a steel garage, set up a hobbyist workshop, or expand your home business, the satisfaction of seeing your vision come to life is unmatched. So, what will your 24×30 footprint become? Let’s dive in and find out.
The Ultimate Guide to 40×80 Farming Structures
Are you considering a 40×80 farming structure for your agriculture venture? Look no further! In this all-encompassing guide, we cover everything you need to know about planning, building, and maintaining your steel building. Learn why a 40×80 steel structure is a worthwhile investment and how it can provide ample space for your farming equipment and livestock. Discover the functionality and financial benefits of these structures, and get tips on customizing your farming structure to fit your unique needs. We also share crucial advice on planning, assembling the building kit, and ensuring the longevity of your structure through regular maintenance. With this comprehensive guide, you’ll be well-prepared to take your farming operation to the next level.
Building a Vehicle Maintenance Hub in a 20×40 Area
Are you looking to transform your 20×40 area into a functional vehicle maintenance hub? Look no further! In this comprehensive guide, we’ll walk you through the process of creating a 20×40 vehicle hub from scratch. We’ll discuss the benefits of opting for a steel garage, the importance of a well-thought-out blueprint, and the necessity of ample storage. From a commercial property development perspective, this project can add significant value to your property. So, let’s dive in and create a vehicle hub that will not only serve its purpose but also make you proud.
Building for Success: Growth Structures and Strategies for 40×40 Businesses
Are you looking to take your 40×40 business to the next level? In this blog post, we dive into the world of business growth strategies and explore how they can be leveraged efficiently for your 40×40 business. We start by discussing the importance of structuring your business for growth, highlighting the benefits of a flexible and durable 40×40 steel building kit. We then delve into essential growth strategies such as optimizing operations, market expansion, innovation, and mergers/acquisitions. Additionally, we provide insights on investing for growth, including tips on seeking investment capital, planning for ROI, and managing risk. By implementing these strategies and building a strong foundation, you can navigate your 40×40 business towards sustainable growth and success.
The Realtor & Developer Relationship
Knowing how to successfully buy pre-construction condos in Toronto is to know upfront that developers and realty agents & brokers have a unique relationship that benefits them both. During a Platinum launch, the developer basically opens their roll-a-dex and plucks out their top realty contenders for the Platinum launch, which benefits the ‘Platinum’ realtor and the developer for a quicker/secure unit sale.
The Platinum realtors have an excellent track record of working directly with developers, sell many units for them and expect the developers to call them up when a new development is approved for construction to further pre-sell units. This relationship does save the developer money…but how?
Developers could spend a small fortune if they skipped the second, third and fourth stages of the launch and went straight to the public after the first stage and it is this that lends to the attraction of directly using real estate agents and realtors to push the preconstruction suites & units. Sure, developers must worry about realtors & agents/brokers commissions, but it is less work and less money for the developer to create relationships with realtors.
It is the real estate agents, brokers and realtors that shoulder the major costs involved when promoting a preconstruction condo. The developers respect this expense, and THEREFORE the developer protects the realtors and gives them the earliest chance to sell units.
Time Equals Money in Pre-construction
Not every investor ‘gets it right’ because they either jumped too quickly on a preconstruction condo or they waited too long to make their move. You have already learned some highly valuable information that can be a big help when deciding on an investment in condominiums on the verge of construction commencing.
Realtors, real estate agents and brokers get the inside scoop on preconstruction condos in Toronto long before the public is made aware of them…so tip # 1 is to secure a Platinum realtor if possible, and if not, a reputable realtor to work on your behalf.
Guess what? If a developer does not hit their 75% sold margin to obtain financing for their construction loans, then they have to ‘sweeten the deal’ by offering better terms & prices on units, which of course is not advertised and only ‘whispered’ to a select few realtors!
Buying low provides the ideal option to sell high and isn’t that the point of being an investor? Many people will buy a condominium unit and at some point, down the road, sell it for whatever reason (so wouldn’t it be nice if there was a healthy profit)?
Platinum Agents Leg-Up
Let’s face it, Platinum agents are the go-to realtors when it comes to successfully buying preconstruction condos in Toronto for a wide swath of reasons:
- They are the first realtors that developers turn to because of their abilities to sell large volumes of condos
- These agents are a powerful force within social media outlets and are marketing wizards
- They have sizable budgets for marketing & selling
- They can get in on a preconstruction condo on behalf of their clients and get the best pricing/unit for their clients
- These agents gain priority & sometimes unit incentives over all other agents in the real estate industry
- Platinum agents can secure desirable suites & units faster for their clients
When the developer and sales team favor Platinum agents over all other real estate agents & brokers, it does make a huge difference when a condo buyer wants to get into a pre-construction condo strategically and save money along the way!
Check also
Let Us Show You The Depth Of Our Expertise
With our in-depth knowledge of Toronto’s real estate market, we can help you find out what the next prime neighborhood will be to make a purchase in and whether or not it will be a positive investment with the potential for a good return or not among many other factors.
0 Comments