(Photo credit: wfeiden/Creative Commons)
With many new condos and houses being built all over the country, a homebuyer may want to get in on the action by buying a pre-construction home.
Whether you’re drawn by the fact that you can customize your home since it’ll be built especially for you or you’re looking for a longer amount of time to save up money for your property purchase, there are some things you can be aware of while shopping to minimize any issues with your home purchase later on.
When you go shopping for a pre-construction home, you will not be able to walk through the space, but typically you will have access to a model suite or floor plans. Model suites may come with additional upgrades to the space, so while walking around, don’t be afraid to ask a sales rep about what the standard suite includes. Also, the ceiling heights in model suites may differ greatly from the actual suite to give a more spacious feeling. The height of a condo suite typically ranges from 8 to 10 feet, according to BuzzBuzzHome, which is another good question to ask a sales rep.
The floor plans are also important to helping you decide whether you want to buy or not. When looking at a floor plan, you’ll want to imagine yourself walking through the space to help you determine if it’s a good fit for you. If you have trouble visualizing the space, a real estate agent that specializes in pre-construction units will be a great help. An important aspect homeowners need to keep in mind is that floor plans aren’t set in stone, which means there’s a chance that the property may be different from your expectations.
Within a real estate contract, it may state that builders are allowed to change, vary and modify the plans and specifications and sometimes buyers are explicitly stated that they’re unable to take action against a builder if there are any changes, alterations or deletions made. But if there is a material change made to development which would convince someone to change their mind and not buy the property, a buyer must be given ten days to cancel the contract, no matter when it was signed.
In one case, a builder didn’t build a rooftop loft area that was on the floor plan since the city wouldn’t permit it, according to the Toronto Star. When the new homebuyer requested revised floor plans since she planned to use that space as a home office, her requests were not fulfilled since the builder took the stance that the modification was not a material change. The court sided with the new homebuyer who requested to terminate the agreement and a refund of her deposit.
Before buying a preconstruction property, a buyer should always research the builder, which includes asking current owners whether the builder built what was promised and whether there were any deficiencies. For Ontario builders, the Tarion website is one good place to start since it offers information about the amount of money in claims the builder paid, along with social media or other online forums. Also, try and get in touch with other buyers to learn more about their customer service, and living experience in their newly built properties and one way to do that is by gathering references from builders.
If you bought a newly built property, you could qualify for an HST rebate. Don’t delay in your HST rebate filing since it’s a claim you won’t want to miss. Rebate4U’s priority is to provide our clients with the most professional and quality service in obtaining rebates for their new and renovated homes. We are proud to offer our clients the most personal and attentive service, and we make sure that all of our clients are 100% satisfied.