05/30/2026
A real case from the pre-construction condo market:
Many buyers believe that if the property value drops, they can simply walk away from a pre-construction purchase agreement.
🚩 But the reality is not always that simple.
A couple signed an agreement during the hot market to purchase a pre-construction condo for approximately $800,000.
When prices dropped and the value of the unit decreased to around $650,000, they decided not to complete the purchase.
That decision became very costly.
The court ordered them to pay approximately $144,000 in damages for the builder’s loss on the resale of the unit.
This case is an important reminder for pre-construction buyers:
✍️ Signing a pre-construction purchase agreement is not just reserving a unit. It is a legal commitment.
If the buyer does not complete the purchase, they may face serious consequences, including:
✅ Losing the deposit
✅ Paying damages caused by the drop in property value
✅ Paying legal costs
✅ Facing legal action from the builder
✅ Possible damage to their credit situation
Important note:
Many buyers during hot market years believed that prices would always increase by the time of occupancy or closing. However, the experience of the past few years has shown that no market is without risk.
🏳️That is why before signing any pre-construction agreement, buyers should carefully review:
✅ Their ability to qualify for a mortgage at closing
✅ Their financial ability if economic conditions change
✅ The risk of price decline
✅ The legal obligations in the purchase agreement
Buying pre-construction can be a great opportunity, but only when it is done with proper knowledge, careful review, and the right guidance.
Let’s Talk Real Estate, Shall we?
🏠 Nina Bonakdar. REALTOR®️
🥇Broker / Certified Negotiation Expert
📞 647.502.5550
✉️ [email protected]
URL: www.NinaBonakdar.com
⭐️”Real estate service that will move you!”
⚜️Sales Achievement Award Winner
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