There are several ways to protect yourself from losing your deposit on your dream condominium. Here are are few
1. Is the builder reputable? Is this the first project or has this developer been in business for years. If so, visit other buildings and speak to owners/residents, check the news, speak to the Property Manager. Does this builder create sound buildings? Check the builder through the tarian search link http://www.tarion.com/_layouts/buildersearch/builder_search.aspx
2. Does the builder have a Trust Account? A trust account is a separate account where your deposit and others are held separately until it is released because you have purchased or declined to purchase the property?
3. Do they have the protection of the Ontario New Home Warranties Plan Act for Deposit, Occupancy Delays in Closing or Occupancy? Please see the Tarion website for what protection is offered and when?
4. Have you reviewed the Agreement of Purchase and Sale with a real estate lawyer during the 10 day cooling off period? Do you know what your rights, obligations and the builder’s obligations and rights are? When are deposits required? What costs are you going to be responsible for over and above the purchase price?
These are only a few key points to consider when seeking out your dream home. Protect yourself and your money.
Please contact Prince Law Office at 416-469-3443 or www.princerealestatelaw.com to discuss your particular case.
5. Do you have the ability to assign the purchase agreement if your life situation (financial, health, work) changes in the future?
6. Are you required to put down a large deposit? Be wary if you have not checked out the previous points.