Presale condo

Daniel5657

New Forum Member
Registered
Can anyone offer some info. on selling a Pre-sale Condo. Not an Assignment just a sale before completion. Because the property hasn't closed are you just selling the offer to purchase. What's involved. Tks
 

Colin Forrest

Investing with Integrity
REIN Member
Hi Daniel, I hope this helps. I purchased a one bedroom condo on assignment and then found a buyer for it prior to the building registering (still waiting). After he building registers with the city the closing is usually within 30 days. In order for the buyer to avoid paying HST, the unit needed to be rented once the occupancy permit was given (3 months ago). The unit is no longer considered a new home upon completion OF THE SALE. FYI: this condo is in Barrie, ON.
 

Thomas Beyer

Senior Forum Member
REIN Member
What province ?

Gains on assignment not allowed in BC anymore. Since your don't own the unit it's not a sale but an assignment. Legally you are on the hook if the buyer doesn't close and in BC you can't collect more money. Usually you have a separate contract with an assignment fee or consultation fee for it. Get legal advice re exact contract wording.
 

KeithnCalgary

Mortgage Associate & REIA
REIN Member
Make sure you review your purchase contract very closely. Many builders now restrict you from selling the condo prior to possession and require you to sell it back to them at the purchase price.

Keith Uthe, REIA
Enrich Mortgage Group
 

Devin Roberts

Devin Roberts - Brent Roberts Realty
REIN Member
Hi I have dealt with a few of these recently in BC. Send me a message for more info


Sent from my iPhone using myREINspace
 
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