Toronto is a hot spot for new development. As such choosing a pre-construction project out of hundreds can seem like a daunting task, especially if you are new to the process. Below I will outline a few important considerations when choosing a project to invest your hard-earned money into.
1. Research the developer. Check out their website & socials to learn about their history, reputation & to get a general idea of what others are saying about them. You can also visit the Tarion website to ensure that the developer is a licensed new home builder and to find out the number & location of homes a developer has built in the last 10 years and a 10-year warranty history.
2. Location, location, location. Whether you are purchasing for end use or for investment purposes only, location is key. Make sure that you understand & familiarize yourself with the location and all it has to offer right now and what development plans are in place for future. It's important here to keep in mind key factors such as proximity to transit lines, nearby grocery, school districts etc.
3. Floor plans - each project will have their own selection of plans. Make sure that you are choosing a floor plan that will fit your/your family’s needs 3-5 years out when the building is completed. For investment purposes your realtor will advise on the plans within your budget & parameters that will be most attractive to future buyers & tenants.
4. Shop around with your realtor. It’s prudent to see multiple projects within your budget in the area(s) you are interested in. This way you can compare product, pricing, location, amenities & the developer to ensure that you are making an educated decision when you put pen to paper to purchase your unit.
5. Price. No one understands this niche market better than a realtor that specializes in pre-construction. Your realtor will ensure that they are showing you the best projects within your budget that are a good value & will provide a good rate of return on your investment.
If are considering a pre-construction purchase, please feel free to reach out with any questions; I’m here to help.