#Pre-construction condos Surrey

[skyliving]

Where Elegance Meets Comfort at SkyLiving

 If you are looking for a perfect blend of elegance and comfort, look no further than SkyLiving. It offers an unmatched living experience that combines breathtaking architecture, topnotch finishes and a sense of community that is second to none.

A SkyLiving Overview

The prestigious new condo development in Surrey will stand tall and marvellous, offering a contemporary oasis in the middle of a bustling city. When you invest in SkyLiving, you are investing in a statement of luxury and a testament to modern living.

Elegance in Design

The stunning architecture and design will make an immediate impression on anyone when they see the SkyLiving project for the first time. You will be greeted by an atmosphere of opulence from the moment you step inside the lobby. The lobby will boast of a high ceiling, 24 hours concierge, sleek finishes, and an aesthetic that sets the tone for what you can expect in your new home.

Despite being a condo-development, where architectural and structural constraints dictate relative uniformity for maximization of monetizable space for the developer, Allure Ventures have chosen to take a different path, prioritizing luxury, comfort and most importantly individuality of SkyLiving’s future residents. Thus, condos at SkyLiving will be in multiple layouts, designed with careful attention to detail so that discerning buyers are spoilt for choice. The modern, open-style concept of the living room and kitchen will however be common, a style deliberately embraced to create spacious, airy layouts. In all units, large windows will ensure that your home is flush with natural light, and premium finishing in customized dark or light theme will create the exact kind of vibe that you are most comfortable with.

Amenities Beyond Compare

SkyLiving is not just luxurious condos; it is also about creating a lifestyle that caters to your every need. Thus, amenities will be nothing short of extraordinary.

Sky Park: Imagine unwinding after a long day on the Sky Park that will envelope all of Level 7, surrounded by lush greenery, watching a movie with your friends and family at the Outdoor Theatre with panoramic views of the cityscape and mountains in the distance. This will be a daily reality for SkyLiving residents.

Fitness and Wellness: Staying active and healthy will be a breeze with the fully equipped indoor gym, yoga room, Pilates room and an outdoor gym on Level 7. You will be able to maintain your wellness routine without even leaving the building.

Community Lounge: Do you love hosting friends and family often? The community lounge at SkyLiving will be perfect for such events and gatherings. It's a place being created with the express intention to foster friendships and a sense of community, where neighbors will become friends, and life can feel all the much fulfilling.

Concierge Service: Your comfort is paramount at SkyLiving. The 24/7 concierge service will be there to assist you with any needs, ensuring you have the luxury of time for the things you love. The concierge will take care of your packages & ordered meals along with providing a convenient pickup service.

Green Spaces: In addition to the SkyPark, SkyLiving will feature a private Courtyard with beautifully landscaped green spaces, providing a relaxing retreat in the heart of the city.

Location! Location! Location!

SkyLiving's prime location in Surrey is another feather in its cap. You'll find yourself within easy reach of shopping centers, entertainment options, dining venues, and public transportation. This means you can enjoy the convenience of city life while still coming home to your oasis of tranquility.

Conclusion

SkyLiving in Surrey represents the pinnacle of luxury condo living and it is always a good time to consider investing in the various pre-sale condos, also known as pre-construction condos. Its elegant design, top-notch amenities, and commitment to sustainability make it a dream destination for those seeking a harmonious blend of opulence and comfort. If you're looking for a place to call home or even just a condo investment opportunity, SkyLiving as a testament to modern luxury in one of Canada's fastest-growing cities, is not just a safe bet, it is a great bet. It's not just a place to live; it's a lifestyle worth embracing.

[skylivingbyallure]

Presale Condos and New Condos For Sale in Surrey, BC

Pre-sale condos offer several advantages over traditional resale properties. For one, they often offer more flexibility and customization options, as buyers can choose from a variety of floor plans and finishes before construction begins. Additionally, pre-sale condos can offer better value for money, as buyers can purchase their unit at a lower price before construction costs drive prices up.

If you’re interested in purchasing a pre-sale condo in Surrey, Visit — Sky Living

Buying a pre-sale condo can be a smart investment that sets you up for long-term success in this rapidly growing city.

[dancekerry-blog]

Listings Nearby helps you find new construction home developments in Geater Vancouver area and BC lower mainland. New condo developments, new townhouse for sale, and new build homes for sale. Find your new home nearby in your dream city like Vancouver, Surrey, Burnaby, Coquitlam, North Vancouver, and White Rock in BC Canada. Many pre construction / presale special incentive opportunities available. Listings Nearby is an online real estate marketplace assisting home buyers find their new home, developers exhibiting their current projects, and agents & brokers get the online exposure and qualified leads.

new construction homes

[rodrhearyan]

Thank you to all of our wonderful clients, friends and family for your business and referrals, making 2017 a record year for us! Rod placed in the top 100 of all 16,000 Realtors, based on the number of homes sold, an accomplishment of which we are very proud .2017 saw us selling homes in Chilliwack, Port Moody, Maple Ridge, South Surrey, Mission, Coquitlam, Abbotsford, Port Coquitlam, Pitt Meadows & White Rock. These sales included sales of pre-construction, single detached, condos, a mobile home, town homes, 55+ buildings, waterfront and new construction.Also, in case you missed it earlier this year, we would like to introduce our son Ryan! He comes to us with two SFU degrees, a BA & BEd, 6 years experience as a teacher, private tutor and as a blog and EDM magazine writer/contributor. As a third generation realtor we know he has a pretty good idea what this business is all about and we are very excited to have the opportunity to work with him in a professional capacity! Stop in at any of our open houses  🏡 to say hi and to meet Ryan! 😁We continue to take courses, attend seminars and stay on top of currents trends and new marketing strategies.  Last year we added a drone to our collection of creative marketing.  This allows us to photograph properties from a different perspective and take amazing video of the entire property.  We have also incorporated a new technology called Matterport which creates a virtual 3D tour of the entire home and allows the viewer to move from room to room and from one floor to the next.  It is amazing to view and like an open house 24/7.  With over 50 years of combined experience, we know we can help you sell or find the right home and ensure the entire process goes smoothly.Feel free to give us a call and we would be pleased to meet with you to discuss the market and all of your Real Estate needs.604.240.1927info@rodandrhea.comrodandrhea.com

[viewittoronto]

SAISONS Condos vip access! LESLIE/SHEPPARD! | Condos for Sale | City of Toronto

SAISONS CONDOS

Concord Saisons condos is a new condo development by Concord Adex currently in pre-construction located at Sheppard Ave E & McMahon Dr, North York, Toronto. Concord-Adex is the builder behind Saisons which is Canada’s largest community builder and has residential buildings and master-planned communities across Toronto, Vancouver, Surrey, Calgary, North York, and even in London, England.

Saisons Condo Highlights:

– Walkscore of 80/100

– Steps to subway stations

– Great access to Highway 401 & 404

– Abundant of restaurants and shops locally

– Walking distance to schools

– Nearby parks include Ambrose Parkette, Bessarion Parkette and Maureen Parkette

Project Name: Saisons Condos

Project type: Condominium

Address: Sheppard Ave E & McMahon Dr, North York, ON, M2K 1C2

Developer: Concord Adex

Prices: From $400,000’s (1 Parking Included)

Suite Sizes: 1 bed to 2 bed suites ranging from 693 – 922 square foot Est.

Completion: Year of 2022

IN ORDER TO GET Platinum VIP FIRST ACCESS and incentives for these Condos,

Please contact Platinum VIP AGENT 416 491 1388

Or email condomarket9@gmail.com

The post SAISONS Condos vip access! LESLIE/SHEPPARD! | Condos for Sale | City of Toronto appeared first on Viewit.

from Viewit https://ift.tt/2GoE9eE via https://viewit.agency

[rebeccahpedersen]

What Is The Smallest Space You Could Possibly Live In?

TorontoRealtyBlog

Laugh at the question if you want to, but believe it or not, a lot of Torontonians will be forced to answer this question in the next decade.

Condos are being built smaller and smaller, for a variety of reasons which is a topic for another day.

And while I’m fascinated by these 800-something square-foot three-bedroom condos, I’d like to focus on 1-bedroom condos today.

What is the smallest space in which you could live?  And what would that look like?

Do you know the size of the average jail cell in the United States?

48 square feet.

That’s a 6 x 8, single-person cell.

Throughout the country, there exist some luxurious 6 x 9, single person cells.

But there also exist 6 x 12, two-person cells.

Of course, there are also open gymnasiums with hundreds of bunk beds in prisons with over-crowding, but that doesn’t really play into our real estate analogy.

I suppose the thought here is: how much larger do you expect your condo to be, than this:

Okay, I cheated a little.

That’s actually a spacious two-person cell.

And considering I just spent ten minutes Googling prison cells, that’s one of the nicest prison cells you will ever find!

In any event, I think we’re a ways from creating 50 square foot condos, and we’re also a ways from living in drawers:

But with the way condos in Toronto are shrinking, there simply must be a limit, or a “bottom line,” for most people.

Whether it’s a look, a feel, or simply a number of square feet, what is the bottom line for you?

I don’t believe I have ever sold a condo of less than 400 square feet.

In fact, I think the smallest unit I’ve ever sold is probably around 450 square feet.

On Monday night, I have a client bidding (I know, every condo has “bids” now…) on a 480 square foot unit that feels palatial, when compared to the actual number of square feet.  And that’s important to note: small spaces can feel a lot smaller, or larger, depending on the layout.

There is a number at which a true 1-bedroom condo ceases to be possible, and that’s probably somewhere south of 400 square feet.

I’ve been looking at a handful of condos, some existing, some planned, and examining units that are less than 400 square feet.

I want those of you who read floor plans like Braille to tell me which spaces work, and which don’t.

And I want the rest of you, who may or may not have any idea how to read a floor plan, to give me your honest opinion about these spaces.

Let’s look at five condos, in descending order of square footage:

Condo #5 – “The Britt” – Bay & Wellesley

Here’s a typical sub-400 square foot unit for you.

This is at “The Britt,” which is a pre-construction development by Lanterra Developments, located at Bay & Wellesley.

The issue I have with this floor plan (and we’re assuming I like any floor plan below 400 sqft), is the long foyer.

There’s no measurements here, but it looks like of the 396 square feet in this unit, a good 50-60 square feet is tied up in a useless hallway.

I don’t know if I trust the “furnishings” in any of these floor plans.

Keep in mind, a king-sized bed is 8 x 7 with a modest bed-frame, so when you see the floor plans including beds, chairs, night stands, et al, they’re probably tiny.

Note that the chair on the left almost touches the kitchen counter, and that 4-person-table-with-chairs, that looks like a smushed mushroom, is only moderately larger than one of the living room chairs.  I’d have a hard time believing you can actually fit a 4-person table and four chairs.

–

Condo #4 – “Nicholas Residences” – 75 St. Nicholas Street

Only one square foot smaller than the first floor plan, this unit at 75 St. Nicholas Street does not have the big hallway that I didn’t like.

It does, however, have something potentially worse.

Any guesses?

That pillar!

That giant black circle is deal-breaker.

A pillar is bad enough in your typical floor-plan, but in a 395 square foot condo, which is hard enough to furnish as is, it completely kills the space.

–

Condo #3 – “Massey Tower” – 197 Yonge Street

Built atop the Canadian Bank of Commerce building, circa 1905, this massive 60-storey, 699-unit building will tower atop the heritage site like the birds that crapped on the old structure for a decde.  If you think I’m kidding, I’m not.  It was so bad, the buidling became known as “the bird poop building.”

This is the best layout so far, although you have to admit – it’s only because the furniture outlines make the space work.

The issue I have here is the awkward angle.

These towers are designed to look aesthetically pleasing from the outside, and that comes before the interior layouts.  Otherwise, every single condo in the city would be a perfect square.

The result, is that diagonal slanted window.

and as you can see from what is probably a double-bed, or less, there’s one inch of space between the bed-frame and the window.

It should also be noted in all of these layouts, that there’s virtually no room to store your clothing.  That closet behind the washer-dryer is all the space in the condo.

Downsize your condo, downsize your wardrobe…

–

  Condo #2 – “365 Church Condos” – Church & Granby

Completed only a few months ago, this Menkes Developments condominium is a mere 21-storeys; which basically makes it “low-rise” in 2018.

Only one square foot smaller than the previous floor plan above, this is a far better layout.

This unit is square, which makes all the difference.

However, there’s that damn pillar again!  Not the large black circle which you’d wish was an end table once you move in.

I would estimate that’s four feet from the end of the pillar to the window, which completely kills about 30-40 square feet of your 377 square foot condo.

–

Condo #1 – “Wellesley On The Park” – 11 Wellesley Street

  300 square feet, folks.

We’re reached the bottom of the barrel.

Did you ever think you’d see a 300 square foot condo?

This 60-storey, 739 unit condominium by Lanterra Developments is scheduled for compeltion later this year, and there are a whole lot of 300-something-square-foot units!

It’s incredible because during my search, I found a lot of units that were 350-400 square feet, but there aren’t that many below 350.

Art Shoppe Condos has a lot in the low-300’s, but I figured this one was far more interesting.

The living/dining/kitchen is 11’6″ by 12’4″, and that’s basically your condo.  142 square feet.

Once again, the diagonal-slanted wall makes the space really awkward.

–

–

–

Condo #(-1): “Karma Condos” – Yonge & College

Smile!

Because I did.

After I found the 300 square foot unit at Wellesley on the Park, I thought I was finished.

But alas, karma struck.

Karma Condos, that is, and their miserable 277 square foot unit.

I do believe that’s the smallest condo available for sale in the city, but please, oh please, let me know if you find one smaller…

–

So what do you think, folks?

Do any of these tickle your fancy?

Could you live in 277 square feet?

What about 395 square feet?

I welcome your thoughts…

The post What Is The Smallest Space You Could Possibly Live In? appeared first on Toronto Real Estate Property Sales & Investments | Toronto Realty Blog by David Fleming.

Originated from http://ift.tt/2Dkg6fB

[skyliving]

Invest Wisely: PreConstruction Condos in Surrey, BC

Surrey, located in British Columbia, has experienced rapid growth and development, transforming it into an urban hub with a diverse community and an appealing real estate market. There is an ever-growing interest in investing in preconstruction condos in Surrey with an increasing demand for housing in areas around the SkyLiving project.

Buying a pre-sale condo, also known as a pre-construction condo, can offer several advantages for prospective homebuyers. Some advantages of getting in the pre-sale market include lower initial costs, choice of units, appreciation potential, extended payment schedule and delayed mortgage payments. Let’s dive deeper into the reasons behind why purchasing pre-construction condos in Surrey can be a smart investment advice, specifically in the SkyLiving project:

The Surrey Real Estate Boom

Surrey has a thriving economy, excellent education institutions, beautiful parks and has become a hotspot for real estate investment. With easy access to Vancouver and other major metropolitan areas, the city’s strategic location makes it an attractive choice for both homebuyers and investors.

SkyLiving: A Game-Changing Development

SkyLiving is one of the most highly anticipated condo developments in the region located in the heart of Surrey. The development offers a mix of luxury and convenience, with a range of amenities and features that cater to modern urban living. From spacious units to stunning rooftop gardens, SkyLiving promises to redefine condo living in Surrey.

Advantages of Investing in Pre-Construction Condos

Investing in pre-construction allows you to secure a property at a lower price that increases the chances of obtaining higher returns on your investment. The demand for housing in Surrey remains strong, and new developments like SkyLiving are expected to appreciate in value.

Diverse Housing Options

SkyLiving provides you various options for housing, catering to different budgets and preferences. Whether you’re looking for a luxury condo with panoramic views of the city or a more affordable option for investment purposes, SkyLiving has it all.

Strong Rental Market

If you are looking to generate passive income, you will find Surrey’s market favourable. The population of Surrey has been growing at a fast pace, combined with its economic boom makes the Surrey market a great option for rental properties. Owning a pre-construction condo in SkyLiving provides an opportunity to tap into this rental market and secure a consistent stream of rental income.

In conclusion, investing in pre-sale condos in Surrey can offer a multitude of benefits. From potentially high returns on your investment to a strong rental market, consider your financial goals and stay informed about the market trends to make the most out of your investment. As Surrey’s real estate market continues to flourish, get in touch with our Sales team or visit our Presentation Centre to get ahead in the game so you can be a part of this success story.

[skyliving]

Unlocking the Code Must Know Legal Insights for PreSale Condo Buyers

Investing in pre-sale condos can be an exciting and profitable venture, specially in a thriving city like Surrey, British Columbia. However, navigating the legal interstices that come with it is crucial to protect your investment and for a smooth transaction. Let us look into some must-know legal insights for pre-construction condos in Surrey, British Columbia, to help you make more informed decisions and avoid common pitfalls.

Understanding PreSale Condos

Before delving into the legal aspects, let us define what pre-sale condos are. Pre-sale condos, also known as pre-construction condos, are properties that a developer sells before the project is constructed and completed. This is where the buyer essentially purchases a promise of ownership of a condo that will be ready for occupancy in a few months or even years.

Legal Insights for PreSale Condos

1. Review the Disclosure Statement: In British Columbia, developers are required to provide the disclosure statement to buyers. This document is important to review because it discloses crucial information such as construction timelines, unit specifications, amenities, and more importantly financial details. It is important to go through this document to be aware of what you are buying into and to make sure it matches your expectations.

2. Understand your Cooling Off Period: BC’s Real Estate Development Marketing Act (REDMA) provides a seven-day cooling off period in which the buyer can review the documents provided by the developer and, if needed, can cancel their purchase agreement without a penalty. Make sure you are aware of this time period and how to exercise your right to withdrawal.

3. Know your Deposit Structure: The deposit structure for various pre-sales differs, but generally the deposit structure involves multiple installments over the construction period. Having a good understanding about the deposit structure and dates for the installments is crucial because failing to meet these deadlines could lead to the termination of your contract and forfeit of your deposit.

4. Be Aware of Assignment Clauses: Many pre-sale condos come with assignment clauses that allow the buyer to sell his condo before its completion. However, these clauses come with restrictions and fees. So, it is important to know that and how it will affect your ability to sell or assign your unit.

5. Stay Informed about Project Delays: Construction delays can be a common occurrence in real estate development. Ensure that your agreement addresses these delays and outlines the developer’s responsibility in each case.

6. Understand your Warranty Coverage: In BC, new homes are covered under developer’s warranty. At a minimum, home warranty insurance coverage includes: 2 years on labour and materials (some limits apply) 5 years on the building envelope, including water penetration. 10 years on the structure of the home. It is recommended to understand the warranty provided and how to make warranty claims in case of construction defects on occupancy.

Investing in pre-sale condos can be lucrative but is comes with its fair share of legal complexities. By consulting a Real Estate lawyer, thoroughly reviewing the documents, and staying informed about your rights and obligations, you can insure a smooth and more secure pre-sale condo purchase. Make informed decisions to unlock the potential of your real estate investment with SkyLiving in Surrey, BC. Visit our Presentation Centre or contact our Sales team TODAY!

[rebeccahpedersen]

What Is The Smallest Space You Could Possibly Live In?

TorontoRealtyBlog

Laugh at the question if you want to, but believe it or not, a lot of Torontonians will be forced to answer this question in the next decade.

Condos are being built smaller and smaller, for a variety of reasons which is a topic for another day.

And while I’m fascinated by these 800-something square-foot three-bedroom condos, I’d like to focus on 1-bedroom condos today.

What is the smallest space in which you could live?  And what would that look like?

Do you know the size of the average jail cell in the United States?

48 square feet.

That’s a 6 x 8, single-person cell.

Throughout the country, there exist some luxurious 6 x 9, single person cells.

But there also exist 6 x 12, two-person cells.

Of course, there are also open gymnasiums with hundreds of bunk beds in prisons with over-crowding, but that doesn’t really play into our real estate analogy.

I suppose the thought here is: how much larger do you expect your condo to be, than this:

Okay, I cheated a little.

That’s actually a spacious two-person cell.

And considering I just spent ten minutes Googling prison cells, that’s one of the nicest prison cells you will ever find!

In any event, I think we’re a ways from creating 50 square foot condos, and we’re also a ways from living in drawers:

But with the way condos in Toronto are shrinking, there simply must be a limit, or a “bottom line,” for most people.

Whether it’s a look, a feel, or simply a number of square feet, what is the bottom line for you?

I don’t believe I have ever sold a condo of less than 400 square feet.

In fact, I think the smallest unit I’ve ever sold is probably around 450 square feet.

On Monday night, I have a client bidding (I know, every condo has “bids” now…) on a 480 square foot unit that feels palatial, when compared to the actual number of square feet.  And that’s important to note: small spaces can feel a lot smaller, or larger, depending on the layout.

There is a number at which a true 1-bedroom condo ceases to be possible, and that’s probably somewhere south of 400 square feet.

I’ve been looking at a handful of condos, some existing, some planned, and examining units that are less than 400 square feet.

I want those of you who read floor plans like Braille to tell me which spaces work, and which don’t.

And I want the rest of you, who may or may not have any idea how to read a floor plan, to give me your honest opinion about these spaces.

Let’s look at five condos, in descending order of square footage:

Condo #5 – “The Britt” – Bay & Wellesley

Here’s a typical sub-400 square foot unit for you.

This is at “The Britt,” which is a pre-construction development by Lanterra Developments, located at Bay & Wellesley.

The issue I have with this floor plan (and we’re assuming I like any floor plan below 400 sqft), is the long foyer.

There’s no measurements here, but it looks like of the 396 square feet in this unit, a good 50-60 square feet is tied up in a useless hallway.

I don’t know if I trust the “furnishings” in any of these floor plans.

Keep in mind, a king-sized bed is 8 x 7 with a modest bed-frame, so when you see the floor plans including beds, chairs, night stands, et al, they’re probably tiny.

Note that the chair on the left almost touches the kitchen counter, and that 4-person-table-with-chairs, that looks like a smushed mushroom, is only moderately larger than one of the living room chairs.  I’d have a hard time believing you can actually fit a 4-person table and four chairs.

–

Condo #4 – “Nicholas Residences” – 75 St. Nicholas Street

Only one square foot smaller than the first floor plan, this unit at 75 St. Nicholas Street does not have the big hallway that I didn’t like.

It does, however, have something potentially worse.

Any guesses?

That pillar!

That giant black circle is deal-breaker.

A pillar is bad enough in your typical floor-plan, but in a 395 square foot condo, which is hard enough to furnish as is, it completely kills the space.

–

Condo #3 – “Massey Tower” – 197 Yonge Street

Built atop the Canadian Bank of Commerce building, circa 1905, this massive 60-storey, 699-unit building will tower atop the heritage site like the birds that crapped on the old structure for a decde.  If you think I’m kidding, I’m not.  It was so bad, the buidling became known as “the bird poop building.”

This is the best layout so far, although you have to admit – it’s only because the furniture outlines make the space work.

The issue I have here is the awkward angle.

These towers are designed to look aesthetically pleasing from the outside, and that comes before the interior layouts.  Otherwise, every single condo in the city would be a perfect square.

The result, is that diagonal slanted window.

and as you can see from what is probably a double-bed, or less, there’s one inch of space between the bed-frame and the window.

It should also be noted in all of these layouts, that there’s virtually no room to store your clothing.  That closet behind the washer-dryer is all the space in the condo.

Downsize your condo, downsize your wardrobe…

–

  Condo #2 – “365 Church Condos” – Church & Granby

Completed only a few months ago, this Menkes Developments condominium is a mere 21-storeys; which basically makes it “low-rise” in 2018.

Only one square foot smaller than the previous floor plan above, this is a far better layout.

This unit is square, which makes all the difference.

However, there’s that damn pillar again!  Not the large black circle which you’d wish was an end table once you move in.

I would estimate that’s four feet from the end of the pillar to the window, which completely kills about 30-40 square feet of your 377 square foot condo.

–

Condo #1 – “Wellesley On The Park” – 11 Wellesley Street

  300 square feet, folks.

We’re reached the bottom of the barrel.

Did you ever think you’d see a 300 square foot condo?

This 60-storey, 739 unit condominium by Lanterra Developments is scheduled for compeltion later this year, and there are a whole lot of 300-something-square-foot units!

It’s incredible because during my search, I found a lot of units that were 350-400 square feet, but there aren’t that many below 350.

Art Shoppe Condos has a lot in the low-300’s, but I figured this one was far more interesting.

The living/dining/kitchen is 11’6″ by 12’4″, and that’s basically your condo.  142 square feet.

Once again, the diagonal-slanted wall makes the space really awkward.

–

–

–

Condo #(-1): “Karma Condos” – Yonge & College

Smile!

Because I did.

After I found the 300 square foot unit at Wellesley on the Park, I thought I was finished.

But alas, karma struck.

Karma Condos, that is, and their miserable 277 square foot unit.

I do believe that’s the smallest condo available for sale in the city, but please, oh please, let me know if you find one smaller…

–

So what do you think, folks?

Do any of these tickle your fancy?

Could you live in 277 square feet?

What about 395 square feet?

I welcome your thoughts…

The post What Is The Smallest Space You Could Possibly Live In? appeared first on Toronto Real Estate Property Sales & Investments | Toronto Realty Blog by David Fleming.

Originated from http://ift.tt/2Dkg6fB

[rebeccahpedersen]

The Friday Rant: Has The World Lost Its Mind?

TorontoRealtyBlog

Folks, it’s been a while.

Maybe I’m mellowing as I get closer to obtaining true “middle-aged” status.

Or maybe I simply reached a point where nothing in the world of real estate fazes me anymore.

But here’s something new: there are buyers in the market that didn’t know the price of real estate could fluctuate, and now they’re upset.

This is the p-e-r-f-e-c-t time for me to revive a classic TRB feature, The Friday Rant…

I don’t understand the world today.

And while I know that sounds like something an old man says, I just really, truly seem to have lost touch with the world around me.

The Prime Minister of Canada.  Wow.  This guy!

Interrupts a young speaker at a town hall meeting, who had the audacity to say “mankind,” to tell her that “we,” whoever we are, prefer to use the term “people-kind,” since it’s more inclusive.

The pendulum has swung so far one way, that it’s about to break through the other side of the universe on the way back.

Sorry, but I don’t like Mr. Trudeau.  I think he’s of below-average intelligence, his low self-esteem, ego, and desire to be admired is at the forefront of every decision he makes on behalf of 33,000,000 people, and he has no experience, or ability, to lead.

This is a microcosm of where we’ve gone as a society, and while some think this is steering us in a better direction for peoplekind, I think it’s making us feeble, weak, and eventually we’ll all be incapable of self-care.

The public school systems have done away with “enriched” programs, such as the enriched English programs I took throughout high school that helped make me the writer I am today, so that “everybody can get an equal opportunity.”  So in the race to the bottom that has become public education, we’d now rather have a so-called “level playing field,” than ever see an advanced child flourish.

We don’t keep score in children’s sports games anymore.  Somebody might get upset to learn that in sports, as in life, there are winners and losers.

Cue the “December Seasonal Concert.”

Change the lyrics to “O Canada,” because it’s one of the worst things plaguing our country today.

Have we ever become softer as a society?

Many of you are already disagreeing, so I won’t go on, with countless more examples, and perhaps better ones, of where our municipal, provincial, and federal leaders have taken us.

But I fear it’s this “guidance” that has brought us to a point where most people in society today refuse to take any responsibility of their actions, especially when those actions are misguided, uninformed, or have consequence of any sort.

As it pertains to real estate, I’m seeing this more and more.

And how could it not transpire, with what we have inflicted upon ourselves?

Recall the story of the “Museum FLTS” condominium project in Toronto, which was cancelled back in November.

The newspapers picked up the story, and made martyrs of these poor souls who entered into legally-binding contracts with a developer who then exercised his right to terminate the project.  I wrote about it on my blog, and I was extra nice:

Another Pre-Construction Condo, Cancelled. Who Is To Blame?

And despite being told by many that I was too nice, I still received hate mail from people who bought into the project – many of them who were obviously well-versed enough in contract law to not spend the $3,000 on a lawyer that might have educated them on the pros and cons of the stack of paper that was thrust upon them by a salesperson, representing the developer.

Oh, the heat I took!  Wow!

I try to take the high road folks, I do.  And it took every ounce of strength I had not to share with you the self-pitying, naive, wishful-thinking emails I received from buyers into the project, who read my blog, and took issue.

You wouldn’t believe it, if you tried.

But as bad as that example of “not taking responsibility for your actions” truly was, I think we reached a new low point.

Some of you pointed this out last week, so I know I already have your ear.

“What did the neighbours pay? Whitby homebuyers just found out the answer: a lot less”

This story first appeared on the CBC website on January 24th, and to attempt to read it without shaking your head at least once is a fool’s errand.

The very first paragraph tells you all you need to know:

Planned homes in a new Whitby subdivision are on sale for up to $90,000 less than similar homes in the same development were a year ago.

Right.

Sooooo……….what’s the story?

A person who can tell time, tie their shoe, and breathe in-and-out, could probably ascertain that the price of real estate, believe it or not, can fluctuate.

Prices go up, prices go down.

Like the stock market, or spot gold.  Bonds, or treasury bills.  Corn futures, or Bitcoin…

But the story here, folks, is that some of the buyers who purchased real estate last year, and who saw the value decrease, are, well, upset.

“It’s painful,” Astrid Poei said in an interview. (from the article)

That’s fair.  Nobody is expecting this person not feel the sting of an on-paper loss, for a property not built, which in effect, doesn’t really mean anything.

“There are no building materials on site, there is no foundation poured, so I don’t understand how we are paying more than someone who bought a couple of weeks ago.” (from the article)

Here’s where things go off the rails a little bit.

The idea of there being “no building materials on site,” and “no foundation poured,” simply goes back to inexperience, and naivety.  It’s pre-construction; delays are automatic.  I’m not going to belabour this point.

But then somehow attaching the fact that the project hasn’t started building yet to the idea that “we’re paying more than somebody who bought a couple of weeks ago,” doesn’t make sense to me.

What’s the issue here?

That somebody who bought a couple of weeks ago paid less?

God help us, folks.

This is what we’ve done to ourselves, as a society.

By removing scores from children’s soccer games, automatically passing high school students who receive failing grades, and electing left-wing governments that promise everything to everyone, we’ve allowed people to believe that they can’t fail.

Failure is a reality in life.

And when you buy real estate, you should know that the price can go up, or down.

Again, from the article: “To come back a year later and see the same house that we bought is now $90,000 cheaper, that’s not cool,” Thompson, 52, said in an interview.

Not cool.

Is that an economic or legal phrase?

Imagine that, folks.  The audacity of a developer to sell properties for prices, as they see fit.

The irony is, if the properties were selling for more money, these people wouldn’t be complaining.

But then what about the second-phase of buyers?  Could they complain?

What if somebody said, “To come back a year later, and see the same house that this guy bought only 12 months ago is now $90,000 more, that’s not cool.”  Would we accept that?

And now, the kicker:

“…Poei and Thompson, who are not looking forward to meeting their Phase 2 neighbours, knowing they paid tens of thousands of dollars less for the same homes.”

Ain’t it the truth, folks?

I remember once when my best-friend of 22 years bought a set of Callaway irons for $750, for which I had paid $1,000 the previous year.  So I did what any normal person would do under those circumstances: I kicked his dog, and then never talked to that motherf*cker again…

I know, I know, I’ve said too much.

But guess what?

I’m far from finished…

The Toronto Star also picked up this story, for some odd reason, since I really don’t think it qualifies as news.

“Price drop crushes pre-construction home buyers’ dreams”

Important point here – I’m not faulting the writer.  I think she’s awesome, I’ve done a ton of stories with her, and as I’ve learned over the years – sometimes, the story picks you.

But it’s the quotes in here that really get me.

And even worse than the CBC article – this one shows not only the absolute disillusionment of the buyer, but also the complete and utter lack of qualification!

Mariam Boni was among the buyers caught up in Toronto’s scorching property market last January. She says she got an email from Mattamy when the first phase of the development was released. On the appointed date, she waited three hours in line to get a ticket to return to the sales centre the following day.

When she went back, there were only two lots still available and Boni ended up spending $899,000, plus additional money for upgrades, exceeding her target price of $500,000 to $600,000.

Although she owns a home already, she said Queen’s Common would be a better place to raise her son.

Wow.

A lot going on here…

So first, we have a woman that stood in line to get a ticket to buy a home.  Can you say, “mania?”  I hear Bitcoin came down from $20,000, btw…

Second, she spent $900,000, with a budget of $500,000 – $600,000.

And last but not least, she already owns a home.  This was a second property, and while she was probably going to sell the first one, it doesn’t remove the speculative nature of the adventure.

The woman added:

“I have a 3-year-old. I’m thinking about his future, I’m thinking this is a good investment. It’s going to go up in price, I’m going to do something nice for my child.”

Exactly!

You thought it was a good investment.  You thought it would go up in price.

You thought.

That’s it.

That’s all you need to know.

There’s no guarantee, nor should there be.  If the prices went up, as you thought, would the developer come back to you and cry foul?  Would Mattamy Homes go to the Toronto Star to describe the hurt and anguish they feel about selling properties that went up in price, when all the while, they could have held them and made more money?

The developer offered this explanation, which is like explaining to a child how boys and girls are different:

“When (the market) is moving upwards, we obviously raise our prices and when it’s moving downwards, in order to continue to sell and to build and complete the communities, we have to lower our prices to a price point the market will bear.”

Yes, when the market goes up, prices go up.  When the market goes down, prices go down.  What’s that, Marigold?  It’s half-past four?

I honestly can’t believe these stories went to print.

Our imaginations could run wild with the analogies.  In fact, some of last week’s readers already beat me to it.

So tell me I’m wrong, folks.

Tell me that these stories were newsworthy.

Tell me that the buyers in these articles have a legitimate beef.

Tell me that peoplekind should be able to buy real estate with absolutely no fear of the price dropping, but with the full expectation that the price will rise.

But do so in the comments below, because I have to leave; I need to go find something sweet.  This blog has left me really goddam salty…

The post The Friday Rant: Has The World Lost Its Mind? appeared first on Toronto Real Estate Property Sales & Investments | Toronto Realty Blog by David Fleming.

Originated from http://ift.tt/2nNRXsU

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The Friday Rant: Has The World Lost Its Mind?

TorontoRealtyBlog

Folks, it’s been a while.

Maybe I’m mellowing as I get closer to obtaining true “middle-aged” status.

Or maybe I simply reached a point where nothing in the world of real estate fazes me anymore.

But here’s something new: there are buyers in the market that didn’t know the price of real estate could fluctuate, and now they’re upset.

This is the p-e-r-f-e-c-t time for me to revive a classic TRB feature, The Friday Rant…

I don’t understand the world today.

And while I know that sounds like something an old man says, I just really, truly seem to have lost touch with the world around me.

The Prime Minister of Canada.  Wow.  This guy!

Interrupts a young speaker at a town hall meeting, who had the audacity to say “mankind,” to tell her that “we,” whoever we are, prefer to use the term “people-kind,” since it’s more inclusive.

The pendulum has swung so far one way, that it’s about to break through the other side of the universe on the way back.

Sorry, but I don’t like Mr. Trudeau.  I think he’s of below-average intelligence, his low self-esteem, ego, and desire to be admired is at the forefront of every decision he makes on behalf of 33,000,000 people, and he has no experience, or ability, to lead.

This is a microcosm of where we’ve gone as a society, and while some think this is steering us in a better direction for peoplekind, I think it’s making us feeble, weak, and eventually we’ll all be incapable of self-care.

The public school systems have done away with “enriched” programs, such as the enriched English programs I took throughout high school that helped make me the writer I am today, so that “everybody can get an equal opportunity.”  So in the race to the bottom that has become public education, we’d now rather have a so-called “level playing field,” than ever see an advanced child flourish.

We don’t keep score in children’s sports games anymore.  Somebody might get upset to learn that in sports, as in life, there are winners and losers.

Cue the “December Seasonal Concert.”

Change the lyrics to “O Canada,” because it’s one of the worst things plaguing our country today.

Have we ever become softer as a society?

Many of you are already disagreeing, so I won’t go on, with countless more examples, and perhaps better ones, of where our municipal, provincial, and federal leaders have taken us.

But I fear it’s this “guidance” that has brought us to a point where most people in society today refuse to take any responsibility of their actions, especially when those actions are misguided, uninformed, or have consequence of any sort.

As it pertains to real estate, I’m seeing this more and more.

And how could it not transpire, with what we have inflicted upon ourselves?

Recall the story of the “Museum FLTS” condominium project in Toronto, which was cancelled back in November.

The newspapers picked up the story, and made martyrs of these poor souls who entered into legally-binding contracts with a developer who then exercised his right to terminate the project.  I wrote about it on my blog, and I was extra nice:

Another Pre-Construction Condo, Cancelled. Who Is To Blame?

And despite being told by many that I was too nice, I still received hate mail from people who bought into the project – many of them who were obviously well-versed enough in contract law to not spend the $3,000 on a lawyer that might have educated them on the pros and cons of the stack of paper that was thrust upon them by a salesperson, representing the developer.

Oh, the heat I took!  Wow!

I try to take the high road folks, I do.  And it took every ounce of strength I had not to share with you the self-pitying, naive, wishful-thinking emails I received from buyers into the project, who read my blog, and took issue.

You wouldn’t believe it, if you tried.

But as bad as that example of “not taking responsibility for your actions” truly was, I think we reached a new low point.

Some of you pointed this out last week, so I know I already have your ear.

“What did the neighbours pay? Whitby homebuyers just found out the answer: a lot less”

This story first appeared on the CBC website on January 24th, and to attempt to read it without shaking your head at least once is a fool’s errand.

The very first paragraph tells you all you need to know:

Planned homes in a new Whitby subdivision are on sale for up to $90,000 less than similar homes in the same development were a year ago.

Right.

Sooooo……….what’s the story?

A person who can tell time, tie their shoe, and breathe in-and-out, could probably ascertain that the price of real estate, believe it or not, can fluctuate.

Prices go up, prices go down.

Like the stock market, or spot gold.  Bonds, or treasury bills.  Corn futures, or Bitcoin…

But the story here, folks, is that some of the buyers who purchased real estate last year, and who saw the value decrease, are, well, upset.

“It’s painful,” Astrid Poei said in an interview. (from the article)

That’s fair.  Nobody is expecting this person not feel the sting of an on-paper loss, for a property not built, which in effect, doesn’t really mean anything.

“There are no building materials on site, there is no foundation poured, so I don’t understand how we are paying more than someone who bought a couple of weeks ago.” (from the article)

Here’s where things go off the rails a little bit.

The idea of there being “no building materials on site,” and “no foundation poured,” simply goes back to inexperience, and naivety.  It’s pre-construction; delays are automatic.  I’m not going to belabour this point.

But then somehow attaching the fact that the project hasn’t started building yet to the idea that “we’re paying more than somebody who bought a couple of weeks ago,” doesn’t make sense to me.

What’s the issue here?

That somebody who bought a couple of weeks ago paid less?

God help us, folks.

This is what we’ve done to ourselves, as a society.

By removing scores from children’s soccer games, automatically passing high school students who receive failing grades, and electing left-wing governments that promise everything to everyone, we’ve allowed people to believe that they can’t fail.

Failure is a reality in life.

And when you buy real estate, you should know that the price can go up, or down.

Again, from the article: “To come back a year later and see the same house that we bought is now $90,000 cheaper, that’s not cool,” Thompson, 52, said in an interview.

Not cool.

Is that an economic or legal phrase?

Imagine that, folks.  The audacity of a developer to sell properties for prices, as they see fit.

The irony is, if the properties were selling for more money, these people wouldn’t be complaining.

But then what about the second-phase of buyers?  Could they complain?

What if somebody said, “To come back a year later, and see the same house that this guy bought only 12 months ago is now $90,000 more, that’s not cool.”  Would we accept that?

And now, the kicker:

“…Poei and Thompson, who are not looking forward to meeting their Phase 2 neighbours, knowing they paid tens of thousands of dollars less for the same homes.”

Ain’t it the truth, folks?

I remember once when my best-friend of 22 years bought a set of Callaway irons for $750, for which I had paid $1,000 the previous year.  So I did what any normal person would do under those circumstances: I kicked his dog, and then never talked to that motherf*cker again…

I know, I know, I’ve said too much.

But guess what?

I’m far from finished…

The Toronto Star also picked up this story, for some odd reason, since I really don’t think it qualifies as news.

“Price drop crushes pre-construction home buyers’ dreams”

Important point here – I’m not faulting the writer.  I think she’s awesome, I’ve done a ton of stories with her, and as I’ve learned over the years – sometimes, the story picks you.

But it’s the quotes in here that really get me.

And even worse than the CBC article – this one shows not only the absolute disillusionment of the buyer, but also the complete and utter lack of qualification!

Mariam Boni was among the buyers caught up in Toronto’s scorching property market last January. She says she got an email from Mattamy when the first phase of the development was released. On the appointed date, she waited three hours in line to get a ticket to return to the sales centre the following day.

When she went back, there were only two lots still available and Boni ended up spending $899,000, plus additional money for upgrades, exceeding her target price of $500,000 to $600,000.

Although she owns a home already, she said Queen’s Common would be a better place to raise her son.

Wow.

A lot going on here…

So first, we have a woman that stood in line to get a ticket to buy a home.  Can you say, “mania?”  I hear Bitcoin came down from $20,000, btw…

Second, she spent $900,000, with a budget of $500,000 – $600,000.

And last but not least, she already owns a home.  This was a second property, and while she was probably going to sell the first one, it doesn’t remove the speculative nature of the adventure.

The woman added:

“I have a 3-year-old. I’m thinking about his future, I’m thinking this is a good investment. It’s going to go up in price, I’m going to do something nice for my child.”

Exactly!

You thought it was a good investment.  You thought it would go up in price.

You thought.

That’s it.

That’s all you need to know.

There’s no guarantee, nor should there be.  If the prices went up, as you thought, would the developer come back to you and cry foul?  Would Mattamy Homes go to the Toronto Star to describe the hurt and anguish they feel about selling properties that went up in price, when all the while, they could have held them and made more money?

The developer offered this explanation, which is like explaining to a child how boys and girls are different:

“When (the market) is moving upwards, we obviously raise our prices and when it’s moving downwards, in order to continue to sell and to build and complete the communities, we have to lower our prices to a price point the market will bear.”

Yes, when the market goes up, prices go up.  When the market goes down, prices go down.  What’s that, Marigold?  It’s half-past four?

I honestly can’t believe these stories went to print.

Our imaginations could run wild with the analogies.  In fact, some of last week’s readers already beat me to it.

So tell me I’m wrong, folks.

Tell me that these stories were newsworthy.

Tell me that the buyers in these articles have a legitimate beef.

Tell me that peoplekind should be able to buy real estate with absolutely no fear of the price dropping, but with the full expectation that the price will rise.

But do so in the comments below, because I have to leave; I need to go find something sweet.  This blog has left me really goddam salty…

The post The Friday Rant: Has The World Lost Its Mind? appeared first on Toronto Real Estate Property Sales & Investments | Toronto Realty Blog by David Fleming.

Originated from http://ift.tt/2nNRXsU

[rebeccahpedersen]

How Does A Buyer Get Out Of The Deal?

TorontoRealtyBlog

In most cases: they don’t.

Not legally, that is, and not without a fight from the seller, and potentially serious repercussions.

I’ve been asked a few times in the past month either “what happens when a buyer won’t close?” or, “how can a buyer get out of a firm deal.”

Let’s look at the legal grey areas, and I’ll give you a few case studies to chew on…

Legal grey area.

That’s what I referred to in the intro, but when you really think about it, isn’t most of the law some sort of grey area?

Yes, we have laws.  Those laws are black and white.

But most of the law – interpretation, enforcement, and discussion, falls into that grey area.  Isn’t that why we have trials, instead of just throwing the book at somebody on the spot?

In any event, when it comes to the laws that relate to the closing of a real estate transaction, much of the interpretation, and practice, fall into that grey area.

Every time I’m asked a hypothetical about a buyer wanting out of a transaction, I usually say, “It’s a grey area.”

It all depends on what a buyer or seller wants to do, how much time and money they want to spend arguing their position, and which side will give up first.

For example, if a buyer and a seller enter into a transaction, each in good faith, and the buyer changes his or her mind and wants out of the deal, you might simply say, “That’s not grounds to do so.  It’s black and white.”  But it’s up to that buyer to prove, often with the help of a lawyer, that there was some sort of misrepresentation on the part of the seller, or some sort of harm caused, that would, could, or should allow the buyer an out.

Now you might say, “Well that’s not fair – they’re in the wrong, and they’re trying to argue their way out of it.”

Right.  Welcome to the legal world…

When it comes to real estate transactions where one party wants out of the deal, I would say that 90% of the time, it’s the buyer, as opposed to the seller.  And when it’s the buyer, I would say that 90% of the time, he or she has simply changed his or her mind.

That buyer might argue there’s something wrong with the property, or some sort of misrepresentation was made, but it’s almost always a case of a change of mind.

So when can a buyer legally get out of a transaction?

In the pre-construction condominium world, there’s a government-mandated 10-day rescission period, or “cooling off period” as it’s most commonly referred to.

The government mandates this, in my opinion, because these purchases are often made with more emotion, and less thought, than purchases in the resale world.  There’s a also a lot of legalese involved, which the buyer would have his or her lawyer review during that 10-day period.

Of course, in practice, many buyers are too cheap and/or stupid to pay the $2,000 or-so to have a lawyer review the Agreement of Purchase & Sale, and these are the buyers who usually get stuck with the massive closing costs and hidden fees upon completion.

There’s a reason that there’s a law mandating the use of a seat-belt, even though it’s there to save your life: people might not use it.

By the same token, the government has mandated that 10-day cooling-off period for pre-construction condos because they have to force buyers to be smart, think things through, consult a lawyer, and really consider whether they want to follow through with the transaction.

In the resale world, a buyer can get out of an agreement if the agreement is conditional, and depending on how the condition is worded, they might not have to do anything to get out of that deal.

Here’s how I word my home inspection clause, for example:

This Offer is conditional upon the inspection of the subject property by a home inspector at the Buyer’s own expense, and the obtaining of a report satisfactory to the Buyer in the Buyer’s sole and absolute discretion. Unless the Buyer gives notice in writing delivered to the Seller personally or in accordance with any other provisions for the delivery of notice in this Agreement of Purchase and Sale or any Schedule thereto within two (2) business days from acceptance hereof, that this condition is fulfilled, this Offer shall be null and void and the deposit shall be returned to the Buyer in full without deduction.

Note the words “sole and absolute discretion.”

That means there’s no arguing over what’s material or what isn’t.  It’s simply up to the buyer.

But more importantly, note the section that reads, “Unless the Buyer gives notice in writing…”

This means that the deal automatically falls through, unless the buyer provides a Waiver of the condition, or a Notice of Fulfillment of that condition.

Buyers often ask me things like, “Does the seller get a copy of the inspection?”  Or, “If we find something wrong, can the seller object?  Can the seller opt to fix the issue, and force us to go ahead?”

These questions, and these points, are moot, when you have a clause like the one above, where the deal automatically falls through.  This is a condition precedent, as opposed to a condition subsequent, and it’s how all clauses should be written by buyers.

Now, let’s turn our attention to the real question of “When can a buyer get out of a deal?”

Let’s look at when the buyer has no real right to do so, but wants to, usually because they change their mind.

First, let’s look at the case where the buyer changes his or her mind, during a conditional period.

Let’s say a buyer purchases a condominium conditional on the lawyer’s review of the Status Certificate.

But that night, the buyer gets cold feet, and wants out of the deal.

No problem, right?  The buyer has a condition – they can get out of the deal.

True.

However, the buyer needs to ensure that they use that condition, and not simply change their mind.  And this is where things get interesting.

If the buyer, the morning after the deal is reached, does not provide the deposit cheque, then the seller can sue the buyer for not following through with the transaction.

Instead, the buyer should provide the deposit cheque, which will be held in trust by the listing brokerage, go through the motions to have the Status Certificate reviewed, not sign the Waiver or Notice of Fulfillment, and then when the deal falls through, ask for a Mutual Release, and the deposit back.

It sounds crazy, I know.  Most of you would say, “I would never hand over the cheque and then try to get it back.”

But ask a lawyer, and they’ll all tell you this is the way it’s done.  If you don’t provide the cheque, the buyer can sue you.  It’s cut and dry.

So now let’s look at firm deals, where there is no condition, and where the buyer wants out of the deal.

Unlike in some countries, or on TV, or as some media inaccurately report, if the buyer doesn’t close the deal on the scheduled closing date, the deposit does not automatically default to the seller.

In fact, under REBBA, there are only three ways in which the deposit, being held in a listing brokerage’s trust account, can be released:

1) Successful completion of a transaction. 2) Court order. 3) Mutual release.

So if a deal is scheduled to close on June 5th, the buyer says, “I’m not closing,” and the days tick by, at no point can the seller access that deposit, unless a court orders the funds to be released to the seller, or the buyer signs a mutual release and forfeits the deposit.

But just to throw another wrinkle into the equation – consider this: at no time can a brokerage hold two deposits for the same property.

So if that deal, that’s scheduled to close on June 5th, doesn’t close, and the seller finds another buyer, they can’t sell their home until they sign a mutual release for the first deal – either giving the deposit back to the buyer, or providing for some agreed-upon restitution.

What this means, is that for the seller to say, “I’ll never give you that deposit back,” is often an empty threat.  More often than not, the seller needs to sell his or her house, and often has no choice but to sign the mutual release, and allow the deposit to be returned to the buyer.  The seller is forced to sue the original buyer afterwards.

Let me give you an example.

I’ve told this story before, I believe in a blog about “stigma” of houses.

A colleague of mine had a listing in North Toronto a few years back, and it was sold to a buyer for $1,500,000.

The buyer, about a week after signing the agreement, said he wanted out of the deal.

The seller balked, and said “See you at closing.”

The buyer said, “I will not close, so you’re wasting your time making threats.  You’re best to let me out of the deal, and get the property back up for sale.”

The seller balked again.

The closing date came along two months later, and the buyer refused to close.

For a couple of weeks, the seller waited out the buyer.  But the seller needed to sell; they were closing a purchase of their own in a few weeks, and needed a firm deal to get bridge financing.

So the seller signed a mutual release, and let the buyer out of the deal, intending to sue them down the line.

Unfortunately, when the “FOR SALE” sign went back up, the market didn’t respond well.  This was the point I made about stigma – the buyer pool wondered why the house was being sold again six weeks later.

The house was sold again, conditionally, and that deal fell through when a buyer got cold feet.

The third time was the charm, however, and the house was sold firm.  But it was only sold for $1,400,000.

The deal closed, and then the seller sued the original buyer for the $100,000 difference.

They settled out of court for $50,000.

The original buyer had zero right to get out of that deal.

The seller was 100% entitled to that $100,000 difference between the original purchase price, and the eventual sale price.

But note that the buyer has to take legal action, which takes time, and money.

I’ve only had a buyer back out of a deal once.

I sold a condo, conditionally, and the next morning, my client called me and said that he had changed his mind.

I told him what I told you guys earlier in this blog post – that he should provide the deposit cheque, go through the motions with the condition, and not provide a waiver.

He said, “That’s the smart thing to do.  But I don’t believe for a second that the seller is going to sue me.  Plus, I have you as my agent, and you can talk our way out of this.  I know you can.”

And so that’s what I did.

I called the listing agent, told her I was sorry, but my client wasn’t going to follow through, and based on how hot the condo market was (this was 3-4 years ago), she said that she was disappointed, but she knew she would resell it.

She ended up selling it for $3,000 less than my client had contracted to purchase it a week earlier, but they didn’t sue my client.  For $3,000, I don’t know that anybody would spend the time and money.

So what’s the take-away from these two stories, and all my preamble?

It’s all one big grey area.

Ask me “can a buyer get out of a deal?” and I’ll give you a multitude of different answers, depending on the parties involved, and the situation at hand.

Just remember that if you’re a seller, you need to get that deposit cheque when you sell your home!

It’s a lot easier for a buyer to walk away from a deal when they haven’t provided a deposit cheque (assuming it’s a bank draft or certified cheque) than after they’ve already handed their money over to the listing brokerage, where it’s being held in trust.

If you’re a seller in this market, and you find yourself with multiple offers, you’re crazy to accept the highest offer without a cheque.  If the buyer changes his or her mind the next morning, you’re either chasing down the other buyers from the night before, or you’re going back on the market, and doing it all over again.  If that’s the case, the stigma applies, and you’re almost guaranteed to get less for your property.

If you’re a buyer in this market, don’t ever assume you can get out of a firm deal, no matter how strong your resolve, or how big and tough your lawyer is.

The post How Does A Buyer Get Out Of The Deal? appeared first on Toronto Real Estate Property Sales & Investments | Toronto Realty Blog by David Fleming.

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How Does A Buyer Get Out Of The Deal?

TorontoRealtyBlog

In most cases: they don’t.

Not legally, that is, and not without a fight from the seller, and potentially serious repercussions.

I’ve been asked a few times in the past month either “what happens when a buyer won’t close?” or, “how can a buyer get out of a firm deal.”

Let’s look at the legal grey areas, and I’ll give you a few case studies to chew on…

Legal grey area.

That’s what I referred to in the intro, but when you really think about it, isn’t most of the law some sort of grey area?

Yes, we have laws.  Those laws are black and white.

But most of the law – interpretation, enforcement, and discussion, falls into that grey area.  Isn’t that why we have trials, instead of just throwing the book at somebody on the spot?

In any event, when it comes to the laws that relate to the closing of a real estate transaction, much of the interpretation, and practice, fall into that grey area.

Every time I’m asked a hypothetical about a buyer wanting out of a transaction, I usually say, “It’s a grey area.”

It all depends on what a buyer or seller wants to do, how much time and money they want to spend arguing their position, and which side will give up first.

For example, if a buyer and a seller enter into a transaction, each in good faith, and the buyer changes his or her mind and wants out of the deal, you might simply say, “That’s not grounds to do so.  It’s black and white.”  But it’s up to that buyer to prove, often with the help of a lawyer, that there was some sort of misrepresentation on the part of the seller, or some sort of harm caused, that would, could, or should allow the buyer an out.

Now you might say, “Well that’s not fair – they’re in the wrong, and they’re trying to argue their way out of it.”

Right.  Welcome to the legal world…

When it comes to real estate transactions where one party wants out of the deal, I would say that 90% of the time, it’s the buyer, as opposed to the seller.  And when it’s the buyer, I would say that 90% of the time, he or she has simply changed his or her mind.

That buyer might argue there’s something wrong with the property, or some sort of misrepresentation was made, but it’s almost always a case of a change of mind.

So when can a buyer legally get out of a transaction?

In the pre-construction condominium world, there’s a government-mandated 10-day rescission period, or “cooling off period” as it’s most commonly referred to.

The government mandates this, in my opinion, because these purchases are often made with more emotion, and less thought, than purchases in the resale world.  There’s a also a lot of legalese involved, which the buyer would have his or her lawyer review during that 10-day period.

Of course, in practice, many buyers are too cheap and/or stupid to pay the $2,000 or-so to have a lawyer review the Agreement of Purchase & Sale, and these are the buyers who usually get stuck with the massive closing costs and hidden fees upon completion.

There’s a reason that there’s a law mandating the use of a seat-belt, even though it’s there to save your life: people might not use it.

By the same token, the government has mandated that 10-day cooling-off period for pre-construction condos because they have to force buyers to be smart, think things through, consult a lawyer, and really consider whether they want to follow through with the transaction.

In the resale world, a buyer can get out of an agreement if the agreement is conditional, and depending on how the condition is worded, they might not have to do anything to get out of that deal.

Here’s how I word my home inspection clause, for example:

This Offer is conditional upon the inspection of the subject property by a home inspector at the Buyer’s own expense, and the obtaining of a report satisfactory to the Buyer in the Buyer’s sole and absolute discretion. Unless the Buyer gives notice in writing delivered to the Seller personally or in accordance with any other provisions for the delivery of notice in this Agreement of Purchase and Sale or any Schedule thereto within two (2) business days from acceptance hereof, that this condition is fulfilled, this Offer shall be null and void and the deposit shall be returned to the Buyer in full without deduction.

Note the words “sole and absolute discretion.”

That means there’s no arguing over what’s material or what isn’t.  It’s simply up to the buyer.

But more importantly, note the section that reads, “Unless the Buyer gives notice in writing…”

This means that the deal automatically falls through, unless the buyer provides a Waiver of the condition, or a Notice of Fulfillment of that condition.

Buyers often ask me things like, “Does the seller get a copy of the inspection?”  Or, “If we find something wrong, can the seller object?  Can the seller opt to fix the issue, and force us to go ahead?”

These questions, and these points, are moot, when you have a clause like the one above, where the deal automatically falls through.  This is a condition precedent, as opposed to a condition subsequent, and it’s how all clauses should be written by buyers.

Now, let’s turn our attention to the real question of “When can a buyer get out of a deal?”

Let’s look at when the buyer has no real right to do so, but wants to, usually because they change their mind.

First, let’s look at the case where the buyer changes his or her mind, during a conditional period.

Let’s say a buyer purchases a condominium conditional on the lawyer’s review of the Status Certificate.

But that night, the buyer gets cold feet, and wants out of the deal.

No problem, right?  The buyer has a condition – they can get out of the deal.

True.

However, the buyer needs to ensure that they use that condition, and not simply change their mind.  And this is where things get interesting.

If the buyer, the morning after the deal is reached, does not provide the deposit cheque, then the seller can sue the buyer for not following through with the transaction.

Instead, the buyer should provide the deposit cheque, which will be held in trust by the listing brokerage, go through the motions to have the Status Certificate reviewed, not sign the Waiver or Notice of Fulfillment, and then when the deal falls through, ask for a Mutual Release, and the deposit back.

It sounds crazy, I know.  Most of you would say, “I would never hand over the cheque and then try to get it back.”

But ask a lawyer, and they’ll all tell you this is the way it’s done.  If you don’t provide the cheque, the buyer can sue you.  It’s cut and dry.

So now let’s look at firm deals, where there is no condition, and where the buyer wants out of the deal.

Unlike in some countries, or on TV, or as some media inaccurately report, if the buyer doesn’t close the deal on the scheduled closing date, the deposit does not automatically default to the seller.

In fact, under REBBA, there are only three ways in which the deposit, being held in a listing brokerage’s trust account, can be released:

1) Successful completion of a transaction. 2) Court order. 3) Mutual release.

So if a deal is scheduled to close on June 5th, the buyer says, “I’m not closing,” and the days tick by, at no point can the seller access that deposit, unless a court orders the funds to be released to the seller, or the buyer signs a mutual release and forfeits the deposit.

But just to throw another wrinkle into the equation – consider this: at no time can a brokerage hold two deposits for the same property.

So if that deal, that’s scheduled to close on June 5th, doesn’t close, and the seller finds another buyer, they can’t sell their home until they sign a mutual release for the first deal – either giving the deposit back to the buyer, or providing for some agreed-upon restitution.

What this means, is that for the seller to say, “I’ll never give you that deposit back,” is often an empty threat.  More often than not, the seller needs to sell his or her house, and often has no choice but to sign the mutual release, and allow the deposit to be returned to the buyer.  The seller is forced to sue the original buyer afterwards.

Let me give you an example.

I’ve told this story before, I believe in a blog about “stigma” of houses.

A colleague of mine had a listing in North Toronto a few years back, and it was sold to a buyer for $1,500,000.

The buyer, about a week after signing the agreement, said he wanted out of the deal.

The seller balked, and said “See you at closing.”

The buyer said, “I will not close, so you’re wasting your time making threats.  You’re best to let me out of the deal, and get the property back up for sale.”

The seller balked again.

The closing date came along two months later, and the buyer refused to close.

For a couple of weeks, the seller waited out the buyer.  But the seller needed to sell; they were closing a purchase of their own in a few weeks, and needed a firm deal to get bridge financing.

So the seller signed a mutual release, and let the buyer out of the deal, intending to sue them down the line.

Unfortunately, when the “FOR SALE” sign went back up, the market didn’t respond well.  This was the point I made about stigma – the buyer pool wondered why the house was being sold again six weeks later.

The house was sold again, conditionally, and that deal fell through when a buyer got cold feet.

The third time was the charm, however, and the house was sold firm.  But it was only sold for $1,400,000.

The deal closed, and then the seller sued the original buyer for the $100,000 difference.

They settled out of court for $50,000.

The original buyer had zero right to get out of that deal.

The seller was 100% entitled to that $100,000 difference between the original purchase price, and the eventual sale price.

But note that the buyer has to take legal action, which takes time, and money.

I’ve only had a buyer back out of a deal once.

I sold a condo, conditionally, and the next morning, my client called me and said that he had changed his mind.

I told him what I told you guys earlier in this blog post – that he should provide the deposit cheque, go through the motions with the condition, and not provide a waiver.

He said, “That’s the smart thing to do.  But I don’t believe for a second that the seller is going to sue me.  Plus, I have you as my agent, and you can talk our way out of this.  I know you can.”

And so that’s what I did.

I called the listing agent, told her I was sorry, but my client wasn’t going to follow through, and based on how hot the condo market was (this was 3-4 years ago), she said that she was disappointed, but she knew she would resell it.

She ended up selling it for $3,000 less than my client had contracted to purchase it a week earlier, but they didn’t sue my client.  For $3,000, I don’t know that anybody would spend the time and money.

So what’s the take-away from these two stories, and all my preamble?

It’s all one big grey area.

Ask me “can a buyer get out of a deal?” and I’ll give you a multitude of different answers, depending on the parties involved, and the situation at hand.

Just remember that if you’re a seller, you need to get that deposit cheque when you sell your home!

It’s a lot easier for a buyer to walk away from a deal when they haven’t provided a deposit cheque (assuming it’s a bank draft or certified cheque) than after they’ve already handed their money over to the listing brokerage, where it’s being held in trust.

If you’re a seller in this market, and you find yourself with multiple offers, you’re crazy to accept the highest offer without a cheque.  If the buyer changes his or her mind the next morning, you’re either chasing down the other buyers from the night before, or you’re going back on the market, and doing it all over again.  If that’s the case, the stigma applies, and you’re almost guaranteed to get less for your property.

If you’re a buyer in this market, don’t ever assume you can get out of a firm deal, no matter how strong your resolve, or how big and tough your lawyer is.

The post How Does A Buyer Get Out Of The Deal? appeared first on Toronto Real Estate Property Sales & Investments | Toronto Realty Blog by David Fleming.

Originated from http://ift.tt/2qXp6AW