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
Selkirk’s Sustainable Housing: The Role of Pre-construction Condos
Selkirk sustainable housing is leading the way in Canada’s sustainable construction industry. With their focus on green building practices and eco-friendly materials, Selkirk is revolutionizing the housing sector. One key aspect of their approach is the integration of pre-construction condos, which not only offer affordability to buyers but also align perfectly with Selkirk’s commitment to sustainability. These condos are energy efficient, built to last, and contribute to reducing our carbon footprint. By investing in steel buildings and pre-construction homes as well, Selkirk is redefining standard construction practices and paving the way for a sustainable future.
Winkler’s Housing Development: The Growing Trend of Pre-construction Condos
Sitting in the heart of Canada, Winkler has become a hot spot for pre-construction condos, reshaping the housing scene for investors and potential homeowners. The city’s housing wave, known as the “Winkler Wave,” is revolutionizing the market with sustainable architecture and steel construction. Pre-construction condos offer buyers a unique opportunity to customize their future homes and potentially earn significant returns on investment. Pre-construction homes are also gaining popularity in Winkler, attracting attention nationwide. Navigating the Winkler housing market is made easier with the help of 29Condos, a trusted real estate guide. With the promise of a vibrant future, Winkler’s pre-construction phase offers a range of opportunities for both homeowners and investors.
Portage la Prairie’s Housing Progress: The Rise of Pre-construction Condos
Portage la Prairie is currently going through an exciting housing evolution, with the rise of pre-construction condos taking center stage. These condos offer buyers the opportunity to lock in a price before the unit is built, providing potential financial gains and the thrill of living in a brand-new environment. The surge in pre-construction condos is not a coincidence, as factors like the flourishing economy, population growth, and diverse housing options have contributed to Portage la Prairie’s housing progress. With continued investment in infrastructure and community amenities, the future of the housing landscape looks bright, and pre-construction condos will continue to play a significant role in shaping the city’s skyline and future living experiences.
Thompson’s Market Transformation: Pre-construction Condos in Emerging Housing Markets
Canada’s northern region is undergoing a transformative urban revolution known as the Thompson Market Transformation. Industrial spaces and steel buildings are being converted into vibrant urban communities with a thriving market for pre-construction condos and homes. This revitalization is driven by demographic shifts, as more people desire the convenience and excitement of city living. As a result, developers are focusing on constructing high-quality, affordable condominiums and pre-construction homes that offer customization options. This trend is expected to continue, attracting new residents and investors while propelling neighboring regions to adapt and grow in the same direction.
Steinbach’s Urban Renewal: Exploring the Benefits of Pre-construction Condos
Welcome to Steinbach’s Urban Renewal blog post! Discover the benefits of pre-construction condos in this exciting phase of urbanization. With the Steinbach Structural Shift towards steel-based building, these condos offer cost-effectiveness, modern designs, and energy efficiency. Not only are they affordable, but they also allow for customization and come with increased value over time. Join us in embracing sustainability with 29Condos’ eco-friendly pre-construction condos. Don’t miss out on the opportunity to be part of Steinbach’s thriving metropolis and enjoy a perfect blend of convenience and cost-effectiveness. Are you ready to seize the pre-construction opportunities in this vibrant city?
Brandon’s Urban Breakthrough: The Benefits of Pre-construction Condos
Welcome to Brandon’s Urban Breakthrough! Discover the benefits of pre-construction condos in this charming Canadian city. With Brandon’s Building Breakthrough and the rise of the condo movement, the city is undergoing a housing revolution. Learn why investing in pre-construction condos is a choice opportunity that can’t be overlooked. From affordability and greater return on investment to selection and customization, explore the advantages of buying condos before construction is complete. Don’t miss out on this golden opportunity to secure a wise investment in a city set for growth. Embrace the future of urban living today with 29Condos.
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!
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