When you are in the market for a condominium in the GTA, you have the option to choose from preconstruction condos and existing condos. There are pros and cons of both options, which you should be aware of to ensure you are making wise investment decisions, since buying a home is a major investment for most people.
Preconstruction condos have not yet been built. One of the biggest draws for new home buyers is that everything in the condo will be brand new, from the flooring and paint colours to the cabinets, countertops, appliances, and heating and cooling system. In addition, you will be the first person to own and live in the unit.
However, there are several drawbacks you do need to be aware of before signing a preconstruction condo purchase agreement. First, condo projects can and sometimes do, get delayed for various reasons, like the weather. Just because the builder says your unit should be ready in a few months, does not necessary mean it will be ready on that date. Most people include a clause in their purchase agreement for provisions, should the builder not meet the latest promised-by date in the contract.
Next, there is always a risk all work on the new project could stop unexpectedly. Sometimes the owners of the building are not selling units fast enough and run out of money. So, they have to wait until more units are sold to resume construction. To protect yourself, it is recommended to include an “opt-out” clause in your purchase agreement, so you can cancel the sale and get a full refund of any deposit paid, should this occur and the builder not be able to deliver your new home as promised.
Finally, you may be limited to what types of interior designs you can select from when purchasing a preconstruction condo. Most builders get bulk pricing on flooring, paint, countertops and cabinets, so it is not uncommon for them to use the same flooring, paint, cabinetry and countertops throughout the entire unit.
With existing condos, the main benefit is you do not have to wait for the home to be built. If you have a specific deadline where you need to be out of your current home and into your new one, it could be more advantageous to purchase an existing condo. Another benefit you gain by purchasing an existing condo, is the sales price could potentially be significantly less than investing in a preconstruction condo.
Purchasing an existing condo also gives you the flexibility to remodel and renovate the unit to fit your own tastes and preferences. Unlike a preconstruction condo, where you might be limited in what décor designs you can choose, you have total design control over all of the rooms in an existing condo and can even bring in your own Toronto condo renovation company for assistance.
One potential drawback is the age of the unit. Appliances and heating and cooling systems have specific lifespans, so you may need to budget money to replace these items if the unit is older. In addition, there could be other types of condo renovations/repairs required after you move in. In the end, deciding whether to invest in a preconstruction condo or an existing unit is entirely your decision, based upon your needs and how soon you want to take ownership and move into your new home.
No matter what you choose, if you want to change the décor in your new condo, contact Turn-Key Projects today at 416-414-9298. Our condo renovation company in Toronto offers hassle free renovation services to transform the rooms in your home, using our simple process that delivers spectacular results.