One of the most common questions we get from buyers wondering if they should buy their condo pre-construction or resale. The truth of the matter is, there are pros and cons to both and really, there is no wrong answer. Depending on your needs, wants, and timeline, the decision of which to buy will likely become clear.
The Toronto condo market is continuing to boom, and pre-construction condos are popping up just as often as resale condos. While it’s fun to shop around existing condos, it’s just as fun to check out sales offices or day dream about builder renderings of condos that have yet to break ground.
If you’re on the fence about which is right for you, keep reading.
Quicker process: Buying resale is a great option for people looking to move in ASAP and want a quicker process than condos that are either pre-construction or under construction. You hire a realtor, get some viewings, and shop around for what you want before making an offer. Voila!
You can see it exactly as it is: Many people who opt for resale like the idea that they can see exactly what they’re getting with their unit. The most obvious perk of buying resale is that you get to actually see the entire unit and building as it is, so you have a good idea as to what work needs to be done, what the layout feels like in person, etc.
Easier to budget for: When you buy resale, you know what the price tag is and you can know what your payment is going to be based on the rate, and you know what the condo fees are.
Plan for renovations (if you want): While renovations are a downside for some resale condos, other buyers like the fact that they have the option of adding their own renovations to a unit. Whether it’s updated counters or floors, or some new coats of paint, when you buy resale you can plan for any changes and renovations you might want to make to increase the value of the condo later on.
Easier buying process: No bidding wars and you have time to save up for your condo and pay off the payments, as you pay a deposit to the builder and then pay off percentages of the condo price as they build. Many buyers find it a lot easier on the finances to buy pre-construction.
Quick investment: To put it simply, by the time you get your keys, chances are your condo has already gone up in value. You got a low price on the pre-construction and now that it’s built, you can turn around and sell it resale for a higher price.
More customization: Since you’re the owner of a unit that has yet to be built, you’ll get to choose the customized features with the builder, such as cabinet colours, appliances, curtains, and whichever features the builder offers to customize. You have the opportunity to get new features and finishes at the get-go, rather than renovating resale (which, will save you money)
Choose your floorplan: Instead of shopping around for the perfect unit, you can choose a floorplan you like (link to previous blog). Floorplans make the world of a difference compared to square footage, and when you buy pre-construction, you can choose what layout you prefer.
Which is right for you?
Really, there is no wrong answer at all and it all comes down to buyer preference. We will help you decide what option is best for you, and work with you to ensure you understand the perks of both options and investments.