Preconstruction vs Resale: Advantages and Disadvantages
When purchasing a new home, which is better: pre-construction or resale?
This is a question that’s almost as old as the real estate market itself. Fortunately, to help you answer that question for yourself, we’ve provided a handy guide to the advantages and disadvantages of buying pre-construction and resale condos in Montreal.
Pros of Pre-Construction
A World of Customizable Possibilities
When you choose to buy pre-construction condos in Montreal, you are essentially able to create the home of your dreams. The property will be completely customized to your tastes, as you are able to select the floor plan, exposure, finishes, and so much more.
Keep Today’s Pricing on Lock
By purchasing a pre-construction condo, you’re not just getting a beautiful space; you’re getting the satisfaction of knowing that your property will be worth more when completed. By playing the long game, you’re saving money in a commercial-savvy way.
No Need for Maintenance
This one goes without saying; by purchasing a newly constructed condo, you can expect to spend very little on maintenance.
Cons of Pre-Construction
The Waiting Game
It is a well-known fact that the earlier you finalize your transaction with regards to a pre-construction condo, the more money you tend to save in the long run. However, there is a downside to this; the earlier you buy your condo, the longer you will have to wait for it to be completed. As such, if you’re looking to move immediately, pre-construction might not be the best option for you.
Buying an Intangible Product
When buying a pre-construction condo, it is important to keep in mind that you will not see the final product until years after striking a deal. In other words, you will be unable to physically see the space before you buy it, potentially leading to an ominous sense of uncertainty.
Can’t Back Out
After finalizing your purchase of a pre-construction condo, you’re pretty much in for the long haul. While exceptions can be made, backing out can be a process that is both cumbersome and costing.
The Pros of Resale
Seeing is Believing
When purchasing a pre-construction condo in Montreal, you are essentially making a transaction over an abstract concept that has yet to be fully realized or developed. When buying resale, what you see is what you get, and unwanted surprises are kept to a minimum.
The Bliss of Immediate Occupancy
With respect to resale, once your offer has been accepted, you won’t have to wait long to move in. Whereas buying a pre-construction condo entails waiting months or even years to move in, resale condos offer immediate occupancy.
From the moment you close the deal, your resale condo is yours to do with as you please (as long as you follow the building regulations, of course). You can move in, rent it out, or even resell the property.
The Cons of Resale
No Room to Customize
As mentioned, when you purchase a pre-construction condo, you are able to customize everything, down to the teeniest, tiniest detail. However, with regards to resale, you will only be able to choose what’s available on the market. As such, barring renovations that you must carry out yourself, you will not be able to make changes. Once again, what you see is what you get.
Just Take the Money, Man!
In the case of pre-construction condos, you have months or even years to save for your down-payment. However, resale condos require a down-payment upfront, meaning that you have less time to save and invest.
Classic Wear and Tear
Whereas pre-construction condos in Montreal will be shiny and new once developed, resale properties will lack that shiny “new condo glow”, and small renovations may be required to combat inevitable wear and tear.
To summarize, both pre-construction and resale condos have their own advantages and disadvantages. In the end, which is best entirely depends on your own personal situation. Fortunately, DevMcGill offers both options for prospective buyers! To browse our pre-construction and resale condos in Montreal, click here.
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