Why do you buy pre-construction real estate?

[Catapult]

There are risks with everything. You just have to watch Holmes on Holmes to see some of the unfortunate surprises that purchasers of pre-owned homes have to deal with. At least with a new home, you are covered to a large extent by the Tarion warranty. A smart purchaser would make sure their contract specifies floor plan, approx dimensions and finishes.

 

[shyne07]

i just recently bought a precon.
what exactly is it that i have to look for?

i got the documents, should i be showing this to the lawyer?
please advise me on this

thank you

 

[urbandreamer]

Why would I buy precon?

1)It's the smart thing to do--usually make money on it.
2)I like shiny new toys; used things are for losers.
3)I like making my developer buddies rich.
4)I like keeping my tradesmen employed.
5)I like keeping aA in business.

 

[cdr108]

i just recently bought a precon.
what exactly is it that i have to look for?

i got the documents, should i be showing this to the lawyer?
please advise me on this

thank you

YES and do so immediately as you ONLY have 10 calendar days to negotiate/cancel from signing offer !
make sure you also get a lawyer that's familiar with CONDOS.

 

[shyne07]

some people said there's nothing really to check..
i got the Westlake by Onni..

what is the lawyer going to check on this?

 

[urbandreamer]

cap your closing costs @$3000k max.

 

[shyne07]

cap your closing costs @$3000k max.

3000k??

they said the levy is capped at $5500.

 

[BrianPersaud]

cap your closing costs @$3000k max.

It's not just capping charges, ensure that the things that made you buy the condo are locked in by contract

- Size, ceiling heights, placement of bulkheads, duct work, electrical boxes etc, outdoor space
- Amenities (in condo docs)
- How to use your unit (investment, rental, assignment, business)

and of course development charges

recommendations

Bob Aaron
Denise Lash - Heenan Blaikie
Barry Kauffman in Markham

 

[shyne07]

thanks for the recommnedation.
I will get hold of them.

by the way for checking this through, how much would they charge me? approx.

 

[BrianPersaud]

thanks for the recommnedation, lovely.
I will get hold of them.

by the way for checking this through, how much would they charge me? approx.

It varies depending on what you need. Barry may review it initially at no cost so you can close with him

 

[cdr108]

some people said there's nothing really to check..
i got the Westlake by Onni..

what is the lawyer going to check on this?

you're going to need a lawyer for closing anyways, so you might as well bring them the PSA contract to review beforehand since most lawyers include that in their fee.

cover yourself with all the changes you want/need because the contract as-is is all in favour of the developer.
also, make sure any changes that you wanted are properly counter-signed by the developer.

 

[shyne07]

Ok, it's my first time so I did not know the importance of these.
So I am gonna call Barry Kauffman and ask him to look through it.

So I should try to find things (or Lawyer will do that for me right? work for my benefit?)
so that the contract is in favor of me??

Will the Lawyer do this for me or will he be too lazy to tell me things and just say it's all good
once he does not find any major problems??

I am really new and its confusing

 

[daveto]

Ok, it's my first time so I did not know the importance of these.
So I am gonna call Barry Kauffman and ask him to look through it.

So I should try to find things (or Lawyer will do that for me right? work for my benefit?)
so that the contract is in favor of me??

Will the Lawyer do this for me or will he be too lazy to tell me things and just say it's all good
once he does not find any major problems??

I am really new and its confusing

Uh-uh. So you're entering into the biggest purchase of your life, and you've spent exactly how many hours studying and researching this?
You're buying something for $300k? $400k? And you've done how many hours of research?
And anyone who has told you that "there is really nothing to check" is either a moron, or is deceiving you.

If you're still in the 10 day recisision period, I'd suggest using it. My 2 cents.

 

[interested]

I would heed daveto's advice.
An extra few hundred dollars now will potentially be well worth it. As stated, they may review the contract for minimal additional charges to the normal closing (unless he has to spend hours reviewing). You can clarify that in advance with the lawyer as to the costs and whether he will review for you. However, if you are not sure you want to keep the property, he may charge you if you don't close with him for his time. Also, if the developer won't change alot which may be the case, you can still purchase but in the scheme of things this expense for the review would be penny wise and dollar foolish at this stage. I think most developers are reputable but a few have tagged on some outrageous charges so knowing who you are buying from is important.

 

[shyne07]

Thanks for all the advices..
I am buying from ONNI and wasnt sure how important it is for the lawyers to confirm.
I figured that there are few things to check sucH AS
*Capped Closing cost, Hidden charges, Square Footage...
just hope it won't cost me lots for nothing