about pre-construction condo project investment

aileen

Inspired Forum Member
REIN Member
Aug 30, 2007
44
3
8
#1
I have come across a pre-construction condo project in Brossard (shout shore of Montreal). possession day will be end of 2021. it is not only just located right beside future REM station which can take you to downtown Montreal within 10 minute. but also it is called TOD project, it is a biggest real estate project in qc. they are going to build 2600 rental and residential unit there , also hotel, conference center, shopping mall, nursing home, park, office and so on, it also said it will provide 5000 job there. it seems good to me. but I also think about something
1) this is high end building located within 400m future train station. Rein transportation effect report said multifamily in this location have possibility to increase 99 percent, it is applied to this situation?
2) if 2600 rental unit will creative more rental competition in the future?
3)builder keep third to thirteenth floor for rental, only sell from fourteenth floor up, it is good for exit later day?
4) condo fee 0.35 per square , I think it is too high.
5) cash flow not good. 563 square foot one bed room for 291231 ( include garage and tax) but rent only 1100-1200.
please five some insight about it . thank you!!!
 

ThomasBeyer

Senior Forum Member
REIN Member
#2
Looks like a decent deal to me. Is there a website?

It will probably go up in value, for sure, once development mess is over, assuming decent built quality.

563 sq ft for $300,000 is less than $600/ sq ft. Nothing today, NOTHING NEW, in Vancouver or Toronto under $1200.

Condo fees reasonable. Not too high. 35 cents is normal for a building with few amenities. More if pool, concierge etc

Cash flow always tight in condos, esp anything new with 25% down. Don’t forget 5% GST is on top.

Does it include a parking stall or is that extra?

Ideally buy a 2 BR as it is easier to rent and far FAR easier to resell.

Look at opportunity cost though. What else can you buy for 300,000? Perhaps an old house with a yard in an established neighbourhood, perhaps with an up and a down suite for two incomes. That might be better.


Sent from my iPad using myREINspace
 

aileen

Inspired Forum Member
REIN Member
Aug 30, 2007
44
3
8
#3
20 dollars per month for parking . It is extra. @thomas my concern is why builder keep third to thirteenth floor for rental ? They already have two separate rental buildings .


从我的 iPhone 发送,使用 myREINspace
 

aileen

Inspired Forum Member
REIN Member
Aug 30, 2007
44
3
8
#4
website for project: www:nobelcondominiums.com
Name of project called Solar Uniquartier @ Thomas


从我的 iPhone 发送,使用 myREINspace
 

ThomasBeyer

Senior Forum Member
REIN Member
#5
It’s not uncommon to separate rental from owners. Possibly different elevator banks and more upgraded upper floors sold as condos. Do you intend to buy upper or lower floors ?


What’s the down payment schedule?

Can you assign, with or without their permission, with or without a fee?

Why the hesitation? Project looks awesome.
 

Willyboy

Inspired Forum Member
Registered
Aug 19, 2016
104
24
18
#6
Regarding the price what do you mean include garage and tax? If you're going to pay an extra $ 20 for parking what is the garage then? What tax are you talking about ?
 

aileen

Inspired Forum Member
REIN Member
Aug 30, 2007
44
3
8
#7
I have to pay 5 percent every 6 months separately , three times in total. this project can not be assigned before closing. 800 square foot two bed room can be rent for 1550 now. my concern is market slow down and too much competition, but I also think this kind of condo much be popular for senior and youth family. it will be easy for rent because its location. thank you very much ! @ THomas
 

aileen

Inspired Forum Member
REIN Member
Aug 30, 2007
44
3
8
#8
The price I mention here is after tax price, also include garage. sorry, I am wrong here, no EXTRA parking stall , but need to pay 19 dollar extra for management fee for garage. it just means condo fee plus 19$ per month. @ Thomas @ willyboy