When it comes to purchasing condos, you are often faced with the choice between pre-construction condos and existing resale condos. But how do you make this decision? What are the benefits and shortcomings of resale condos? Discover the pros and cons of resale condos and make an informed choice for your next purchase.
Pros:
1. Physical Layout Availability: Resale condos offer a tangible and more straightforward way to make a purchase decision.
2. Community and Neighborhood Feel: You can experience the existing community and neighborhood dynamics when it comes to resale condos.
3. Verification of Materials and Design: All materials and designs can be verified against the purchase and sale agreement, making it easy to identify and address discrepancies of already existed condo units.
4. Status Certificate Reporting: The details and wellness of the entire building are reported in the Status Certificate, a legally binding document that must be accurate and up-to-date.
5. No Builder Deficiencies: There are no builder deficiencies waiting to be fixed, which can cause inconvenience in new construction.
6. Lower Risk: Resale condos typically involve lower risk, as you don’t need to worry about the builder going bankrupt or the cancellation of the project, mitigating potential financial losses due to incomplete projects.
7. HST included in purchase price
8. Immediate occupancy available
Cons:
1. Higher Initial Down Payment: Resale condos often require a larger down payment at closing immediately, compared to smaller initial payments and installments in months leading up to occupancy of pre-construction condos.
2. Higher price : Resale condos used to be more expensive compared to pre-construction condos, although this seems no longer be the case these recent years
3. Not Brand New: Resale condos are not brand new in most cases.
4. Outdated Building and Interior Design: The building and interior design may not be the most current, depending on the age of the building. Renovation may be required
5. Possibly Outdated Amenities: Amenities in resale condos may not align with the latest trends, such as the availability of EV chargers (can be installed once condo board approves), pet wash rooms, yoga rooms, or car-sharing programs.
6. Potential Lack of Tarion Warranties: Resale condos may have passed the Tarion warranties for the 1st, 2nd, and 7th years, which can affect the level of protection and coverage available to buyers.
7. Could having higher maintenance fees compares to newer buildings because it requires more maintenance jobs to be carried out
