There is always a choice that homeowners face while buying houses i.e. whether to invest in individual apartments or in condos. Nowadays, condos are becoming popular among homeowners and more number of people want to invest in pre-construction condos. This guide will brief you on why pre-construction condominiums are getting popular.
Reason to Invest in Pre-construction Condominium
As per a study it has been found that pre-construction condos have become so popular that around 20,000 condos are getting sold each year. There is huge demand for condos from investors since it is expected that rentals and prices will rise in future. Condo ownership can be very useful for people who are fed up with the hassles included in maintaining a house. Investing money in condos can give valuable returns. Pre-construction condos have actually become a passive investment option where you need to devote only few man hours.
Investing in pre-construction condos lets you buy new condos which are usually highly priced as compared to existing resale condos. It typically means that you will be buying condos at discount and will resell them at premium. However, it is worth mentioning here that all pre-construction condos are not great investment, hence, it’s imperative for you as an investor to choose those projects which can maximize the returns.
Why Pre-Construction Condos Make a Great Investment?
Deposit structure of pre-construction condos is around 15-20 percent over a period of 1-1.5 years, which make its purchase easier. This means that you can make good investment by depositing only 15 – 20 percent of the total value. Additionally, you don’t need to take any loan or mortgage property during the period of construction. This benefit is equal to getting 80 percent interest free loan during whole construction period.
In terms of investment, it precisely means that for each dollar that you’re investing in condo, the developer is investing around 4 dollars. This means that you’re getting 80 percent interest-free-loan loan from condo’s developer until the completion of construction. In case, you want to invest in a pre-construction condo, it is important for you to find a reputed developer. Rocco Basile is one such developer in construction business, whom you can reach out for pre-construction condos in New York.
How to Purchase Pre-Construction Condos at Good Prices?
A common man would just walk into some sales office to purchase a condo. However, as an investor, you should invest some time and buy condo at right opportunity. One of the key things in buying a condo is timing. You might have made complete research, analyzing everything in detail, but things can go wrong if you don’t react on right time.
It is important for you to know that developers are required to pre-sell around 75 percent of total condos for securing finances for construction. Hence, it is important for you to have complete knowledge of which developer is planning to sell condos. Such knowledge can help you to secure better deal. You can contact, Rocco Basile, one of the most popular developers in New York to get the best deals.
Hope this guide will help you to understand factors you should consider before buying a condo.