If you are interested in buying pre construction condos in Toronto, then you will be delighted to know that condo sales have increased significantly in the past years. You can notice this growth in all the bigger markets. Investors have shifted their attentions towards the purchase of preconstruction condos. This is the reason the competition in this industry has increased in the last couple of years.
According to a survey, in 2016 more than 2 million people made a condo their home in Canada itself. The investment in preconstruction condos have increased the construction projects in the country. Let us understand why you need to invest in pre construction condos in Toronto to get good return in future.
What is a condo?
People who cannot understand what is a condo may be confused with this term. We can understand it as a building divided or subdivided into different parts. Each part of each housing unit is shown on an individual basis to the investors. Every investor or the owner will have a share of the land ownership on which this condominium is being constructed.
Reasons to invest
The biggest benefit in investing preconstruction condo is that you do not need to pay a big amount of money initially. However, the better part is that you will get more money in the future. If you are investing during the preconstruction phase, then it will maximize your investment in many folds.
The purchase price of this preconstruction condo is always lower than the price of a fully constructed condo. After purchasing it in preconstruction phase, you can harvest the benefits of investment.
Although there is some risk involved in an unfinished project but the amount of risk is always lower than the profit. Another advantage is that you do not need to invest in maintenance if you buy it in the construction phase.
At the time of construction, you need to ensure that you are getting quality work. In the case of poor craftsmanship, you have to pay for cutting corners and other repair works. In that case, you have to pay an extra cost. That is why it is imperative at your part to keep an eye on the construction work to ensure that you are getting the right value for your money.
You will also get taxed benefits after investing in a preconstruction condo. You will get instant equity even before the construction work has started.