If you’re thinking of buying a new condominium, there are many things to consider before you sign on the dotted line. The first thing you should ask the builder about is the status of the project's development. You'll want to know which conditions have been approved such as if the project has been financially secured or if the required building plans have been approved. You'll also want to know the steps for approval of the development.
Here are some tips to help you make an informed decision:
If a pre-construction condominium project is cancelled, buyers are entitled to receive their deposit back with any interest under section 19(3) of Ontario Regulation 48/01.
The amount of interest owing is calculated using the Bank of Canada's overnight interest rate, minus two per cent.
More information on pre-construction condominium project cancellations is also available on Tarion’s website.
Make sure you understand exactly what is and isn’t included in the purchase price.
Carefully review the unit’s layout, boundaries and unit factor.
Review the planned amenities and decide if they meet your needs.
Make sure you have a good understanding of what you can afford in common expenses fees and determine what the expected fees for the unit are.