How To Buy

STEPS TO BUYING
PRE-CONSTRUCTION

The path to buying a pre-construction Condo begins with registering for a project on our webpage.  By registering with ATeam Condos, a builder approved sales team, you will have access to an abundance of information.  You will be first in line to receive the latest news about pre-construction developments, prices, locations and incentives in the GTA.  You will have access to our robust database of deals and special offers for condo developments that are still in the pipeline, even before they are released to the general public.
 
As our registrant, we are able to better provide you with advice and direction so that you may be able to make the best buying decisions. Being a Registrant for a project still in planning means you will be on our priority list and will automatically receive full project details once they become available.  Once you register, you will receive an email containing all available information such as; Price Lists, Floor Plans, Brochures, Incentives and more.  Since the buyer’s agents’ fees are already included in the purchase price, the most significant advantage of buying pre-construction condos and homes through Ateam Condos is that you will have all of our knowledge and experience and pay no fees for our guidance.

1

Submit Your Worksheet

Ok, you have found the perfect condo unit in a great building, now it is time to submit a Worksheet to the Builder.  A Worksheet is simply a form with your unit choices/preferences along with personal information and proper government identification. All Builders require a Worksheet to begin the process to purchase a unit.  A Worksheet does not obligate you to anything, view it simply as a way to reserve a unit in your name before it is given to another purchaser.
 
Pre-construction sales move very fast. Often, builders will receive many Worksheets for the same unit in a building once sales have begun.  Worksheets are all time-stamped upon submission and are allocated on a first-come-first-served basis, time is of the essence.  The sooner that you submit a Worksheet, the better your chances are of being allocated your preferred suite. Don’t worry, the ATeam is here to help you through the whole process.

2

Signing The Agreement

Soon after submitting your Worksheet, we will contact you with an update.  If you are lucky and a suite has been Allocated to you by the builder,  you will have the option to proceed with a sale or not.  If not, the unit will be released to another purchaser. 

If you wish to proceed with a purchase, you will be advised of your signing date to sign the Agreement Of Purchase And Sale (APS). You must remember that you will need your government ID and also have a checkbook.  There will be deposit cheques that need to be submitted to the builder along with the Agreement of Purchase and Sale.

3

10 Day Cooling Off Period

Congratulations!  You are on your way to home-ownership.  The 10 Day Cooling Off Period begins once the Agreement Of Purchase and Sale has been executed by the developer.  You legally have 10 days to review and rethink this purchase.  During this time, your unit is secured and cannot be sold to another purchaser. The Cooling Off Period allows you time and space to do your due diligence and make a comfortable final decision. It may feel stressful but remember, you are in the driver’s seat and we are here to guide you.
 
It is strongly recommended that you take this Cooling Off time to find a lawyer (one with experience in Pre-construction purchases) to help you review your purchase agreement.  Pre-construction agreements are structured much differently than a traditional resale transaction.  A legal professional is best able to explain your rights and responsibilities with your Agreement.  10 Days is ample time if you are prepared. This is also a good time to begin to think about finances and your future mortgage requirements too.
 
If, during the 10 Day Cooling Off Period you have a change of heart, don’t worry.  You have the right to cancel with no questions asked.  You simply need to inform the sales office that you no longer wish to proceed and would like to cancel the contract.  You will need to A) Sign a Recission Letter B) Return all documents and C) Pick up your deposit cheques from the sales office.  Easy!
 
If you decide that you want to go ahead and purchase your suite, congratulations!  At the end of the 10th day, your purchase will have gone firm.  This means that your contract is binding and your first deposit cheque may legally be deposited by the builder.
 
As a matter of strategy:  We encourage all interested buyers to at least get to this stage (10-day cooling-off period).  When signing the Agreement of Purchase and Sale, you have complete power over this unit, it is in your hands.  You control the ownership of the unit and are in the driver’s seat.  This is an enviable position to be in and still, there is no legal or financial obligation to you until the cooling period is over.

4

Once You Go Firm

ongratulations! You have just bought a home.  Hurray!
 
At this point, you can expect the builder to begin to deposit your post-dated cheques.
 
Now is the time that we begin to get your finances in order.  You will be required to provide the Builder with a letter from a financial institution regarding a Mortgage Pre-Approval or a Commitment Letter.  The builder will need assurances that you are capable of financing the purchase.  At ATeam Condos, we are happy to share our network of trusted Pre-construction legal experts and financial specialists to help you close your deal in comfort.

5

Colour Selection

Closer to your Occupancy date when the building is well into construction, the builder will call you in for a Colour Selection appointment.  This is a one on one consultation with decore representatives to help you customize and craft the look of your new home.  Here, you will be choosing the finishes, colour, and any upgrade packages that will make your condo truly yours.

6

PDI

PDI stands for Pre-Delivery Inspection.  This is a guided and thorough inspection of your suite with a representative of the builder.  This is the moment to inspect for any items that may be scratched, marred, damaged, missing or incomplete.  All items discovered will be noted and corrected by the builder. Your condo should be perfect when you take possession.

7

Interim Occupancy

Interim Occupancy occurs when the condo building is almost complete and is safe and legal to be lived in. The building is still awaiting final completion of work and cannot be registered with the city yet.  While you can live there or possibly rent it out,  you still do not have ownership title and you cannot register a mortgage at this time.  The Interim Occupancy Period can last anywhere between a few months to a year or more.  During Interim Occupancy, you will have to pay the builder a rent until you reach Final Registration or Final Closing.  This rent is called Occupancy Fees.  These fees will be similar to a typical monthly carrying cost for the unit.  They are calculated based upon an estimation of monthly property taxes, monthly condo fees (lower than usual), and the interest on the unpaid balance of the unit’s purchase price.

8

Final Closing

Things get interesting here!
 
At this time, you will meet with your lawyer to sign very specialized paperwork.  Final Closing is when the condo unit ownership will be transferred to your name and the building will be registered with the local government. 
 
Final Closing is when your mortgage gets registered and your payments begin.  In addition, you will need to pay closing costs with your lawyer.  Closing costs are significant and could equal 4-5% of the purchase price. Be prepared and plan ahead.

Invest in Pre-Construction Condos in Toronto

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