05/10/2020
Buying a home that is already built is much more straightforward than investing in a pre-construction condo, house, or townhouse – an important heads-up to first-time buyers in particular.
Prepare to pay "rent" on your condo before you "own" it: In the case of a preconstruction condo, you do not officially own it until the building is registered – which happens when it is mostly all lived in and passes conditions set out by the provincial land registry office. The registration process can take three months or longer, after which the title of your condo will be transferred to you – and that is when any mortgage or other payments you make are put towards ownership. While awaiting registration, you will be able to move in – during this "interim occupancy" period, you must pay monthly "occupancy fees" (a type of rent that will not be put against what you owe for the condo) to the builder. Each month's occupancy fee incorporates the interest portion of the balance owing on the purchase price, the condo fees, and a portion of your property taxes.
