Vancouver Condo Presales and New Development Guide
Your Guide to Buying New Developments or Presale Condos in Vancouver BC
What is a Pre-Sale Condo?
"Presale" or "Pre-sale" is a term used to describe a contract to purchase a condo that will be built in the future. It is both a right to buy but also a future legal obligation. In many cases it may be several years before the new development is complete and the Buyer may only have a floorplan, a architectural model and some renderings in which to base their decision to buy. In some sales centres there is a mock up of a unit with sample finishings that is professionally decorated so you can get an idea of scale and quality. As well as the contract, you are also required to pay a deposit or a series of deposits which could be as low as 5% or 25% depending on the unit and the developer.
So Why Would You Want to Buy A Presale?
1.) Everything is Shiny and New Including the Appliances
Developers use the newest building technology and the most modern up to date designs and finishes. Many new buildings are also LEED certified which means they are a greener choice than most older buildings. Appliance packages are the newest models too.
2,) Under Warranty
The building is covered by 2-5-10 year building warranty insurance which covers it for 2-5-10 years. This is actually an insurance policy covered by a third party insurance company.
All the appliances are also covered by their respective manufacturer's warranty.
Early buyers are often allowed to purchase upgrades, choose from color schemes or even customize or combine the units.
4.) Early Birds Get the Worm
Early Buyers get first choice of the prime units, the best floorplans and the best views. Many developers also offer early purchase incentives like discounts or decorating allowances.
5.) The Upside of a Rising Market
Pre-sale buyers can profit from a rising real estate market with very little investment upfront (just the deposit)