Spring can be a busy time with many new home builders planning openings and new releases. If you’re looking to buy a new home in the Greater Toronto Area (GTA) or in the surrounding area, you have some serious weekend plans ahead of you (now that April’s almost over, you’ll also find more sales centres staying open throughout the week).
With the demand for condo living remaining strong and the new single-family home supply still tight, we’re anticipating some decent sized crowds at sales centres across the region this spring.
Some people use the openings as an opportunity to browse, while others are more serious and are there to buy. If you’re among the latter, then you need to know what serious buyers bring to a new home sales centre.
When buying a new construction home, the 20% deposit is typically spread out over a period of time. An initial deposit will be due upon signing the Agreement, and then you’ll have to write post-dated cheques for the future deposits.
It’s important to make sure these are personal cheques and not corporate/business cheques – most builders will not allow a company to buy a home.
In order to have a full understanding of what you can afford, you need pre-approval from a bank. Some builders require the pre-approval to be from a major Canadian bank. You’ll have to present this letter to the builder while going over your Agreement.
Some builders have bank representatives on hand at openings to provide pre-approvals, but if this is the case, you have to be prepared to share documents like paystubs and other income information.
If you’re buying a new condo, there is a 10-day cooling off period, so you don’t technically need the proof of pre-approval at the time of purchase, but you will need to send it to the developer within the 10 days.
To complete your new home purchase, you need photo ID, like a passport or driver’s licence. Don’t try to use your health card. Also, everyone signing the Agreement must have photo ID, meaning if you and your partner are buying together, having ID for only one of you will not suffice.
Your significant other
Speaking of your partner – if you have one and are serious about making a purchase decision, attend the opening together! We’ve been to new home openings where someone said they just needed to come back the next day with their partner, and when they finally did return to buy, the home they wanted was sold.
A few favourites
If the floor plans and/or elevations are available to you before the opening, it’s important to select at least three favourites in order to avoid disappointment on opening day. If you’re truly serious about buying in a certain development or community, then you’ll have a couple back-ups!
We hope this list makes your new home purchasing experience as smooth as possible!