Can you sell a condo before it registers?

[Sammy.March]

Wondering if this is an option...what if it still isn't built and was supposed to be ready in December 2007?

 

[cmystikal]

You cant "sell" it per se, but you can "assign" your purchase and sale agreement to another purchaser and come up with an arrangement on the side if your "selling" price exceeds the original purchase price.

In order to assign your purchase agreement this clause needs to be in your original agreement or coordinated with the builder. Some builders will charge 500-2000 to allow buyers to assign their purchase of sale agreements. Speak to your lawyer about it for more details.

 

[dpylyp]

Flipping Condos

Stan Gelman Lawyer said beware;

You may be liable for GST,
If the second buyer does not close, they look again to you,
Land Transfer Tax is payable on your purchase,
Tarion Home warranty is payable,
Will you sign the end user declaration for a GST Rebate for the Builder?
Who will indemnify the builder for your subsequent assignments?

http://www.youtube.com/watch?v=ROl-Uu19Y2s

You can assign the contract with consent, but you do not "GET" any profit till the final closing (registration). Who will hold your assignment deposits?

 

[Joy Paterson]

Take a look at the Agreement of Purchase and Sale. It should outline the rules on Assignments there.
Sometimes they will charge you a fee.

Many builders now are also saying they need to get permission from the builder directly and each situation is done case by case.

Usually the building has to have sold out a certain percentage of the units before assignments are allowed.