Q: What are the main differences between Resale & Presale?
Generally, owning a property falls into 2 main categories, which based on your timeline and plan, you may own the property now (Resale), or pay a deposit so you own it in the future (Presale). Some of the main differences of these two are as following:
1. Mortgage Start Time:
The Mortgage usually starts on the day of completion. In Pre-sale, usually the completion is roughly 3 years away from the beginning of the project (differs project by project), whereas in resale, the completion day is negotiable between the buyer and the seller, but generally is a much shorter time-frame
2. New vs. Old:
Purchasing a Pre-sale means you will walk into a brand-new home once it is completed; whereas in Resale, it will be a good idea to consider who's been living in the home, which will help evaluate the condition of the home.
3. Knowing the Developer:
This is important in buying a Pre-sale, since you won't get a chance to walk through the building until the Possession day!
Q: What are the steps to buying your dream home?
Buying a home generally requires a lot of time and could be a frustrating and stressful process; however, doing it properly with the assistance of the right people will make it a very pleasant experience! I have summarized the process in 6 easy Steps:
1. Determine your affordability: talk to a Mortgage Broker and find out the amount that you can get qualified for. This is a very easy yet important process, you just need to provide the required documents that is required, and the mortgage broker will provide you with a rough price range.
2. Find a trustable Realtor: finding the right agent is very important! Once you find the agent that you are willing to commit to, he will be sending you suitable properties and take you for showings
3. Make an offer: once you find the property that you are interested in and suits your plan and budget, your Realtor will draft you the contract and will submit it to the Listing Realtor. Once the price and conditions of the contract are mutually agreed upon, you need to start working on removing the subjects by the deadline that is agreed upon in the contract.
4. Get your financing finalized: Once your offer is accepted, you need to talk to the mortgage adviser to get the final approval that whether they will provide you with the sufficient amount. After the mortgage broker approves you and you are satisfied with the terms of the mortgage, they will need to appraise the property to make sure it is worth the amount that you are offering! Once everything is done, you get a green light from your mortgage adviser, which means it is time to work on removing the rest of the subjects.
5. Inspection: Offers are mostly contingent on a home Inspection, which is very important. The inspector will be checking structural damage or things that may need fixing. Once the inspection is done, you will be given a report that includes all the things that needs fixing. Based on the severity of the damages and the fixing cost of them, you may proceed, renegotiate or refuse to remove the subject.
6. CONGRATULATIONS: Once you have removed all of the subjects and your lawyer has done all the work and sent them to the seller's lawyer (by the Completion date), you will be handed the key to your dream home (on Possession's day).