The real estate market continues to boom, with the demand for residential spaces throughout the metro remaining consistent. Whether you’re looking to lease it out or buy the space for yourself, you may be considering buying a pre-construction condo. Of course, with any project that has yet to be built, you will want to lessen the risks. Here are the things to watch out for, so you can make the right purchase:
Make sure you drop by the site even in the beginning stages of the construction. With the rush that many contracts bring, you’ll want to make sure that the building has solid foundations and use building practices that are worth the investment. Check everything, down to their use of formwork for concrete construction.
Considering the price of buying a unit, even if it is lower than buying an already-built one, you should see that the quality of the building meets its promises. Why check on the formwork? This is the starting point and visual blueprint that you have access to before the property towers on completely. As it serves as a mould for the building, you’ll want to make sure it seems structurally sound so that it can handle foundations, columns, and any foreseen stresses from the environment.
If you’re uncertain about being able to properly survey this on your own, check in with a contractor or construction service and get their expert opinion on the look of the materials and their skeleton.
You’ll be investing your own money into a unit, so it’s wise to delve into the bigger investors that have stakes in the property as a whole. This can give you a good idea on the feasibility of the project coming to fruition. If you can check on an investor’s basic history and see they have made good choices in the industry, it can be a determining factor on whether it’s a good idea or not.
Although you may have limited information, you should be able to learn about major investors if the property management is transparent (which is what you want if you’re buying something that doesn’t technically exist yet). Seeing trustworthy partners that have ethics and even noteworthy claims in the market can ensure that this is not just any project that can be derailed.
Even when visiting the construction site, you should see information plastered on any tarps in the compound. From there, you’ll have a good idea who you’re working with.
A clear timeline
Delays and complications can sometimes be unavoidable, but that doesn’t mean you should settle for something completely up in the air. A condominium under construction should have a clear timeline for completion and opening. This not only gives you an ample schedule to time any commitments you have tied to this possible investment; it also tells you whether the project is legitimate or not.
Reputable contractors and developers would be aligned on deadlines and set goals. You don’t want to put your money on something that suddenly ends up not being built at all. And even when you do put your money in, you’ll want to know how long your deposit will be tied until you can start using the space.
There are many pros and cons to buying a pre-construction condo unit but as long as you’re wise with your choices, you’ll be happy with your new space and the fruits of your patience in due time.