It is advantageous to purchase a condo project that has already been sold and is in the process of construction, as it won’t take too long to occupy.
In most cases, at this stage of the purchase or assignment, the completion date of the project and the unit will have already been confirmed, so you know exactly what you are purchasing when it is occupied.
If the buyer of the assignment is an investor, it is an ideal time to buy as the waiting time until completion and occupancy means the investor won’t have to wait long for his Investment to begin producing income.
If the buyer of the assignment is an investor, it is an ideal time to buy as the waiting time until completion and occupancy means the investor won’t have to wait long for his Investment to begin producing income.
The 2023 Real Estate Market especially the New Condo Market has not been doing well at all. 2024 is expected to be even worse.Sellers who want to quickly sell or assign their condo are likely to offer better deals.
To add to the worsening 2023 and 2024 Condo and Real Estate Market is the fact that Mortgage Rates as well as Mortgage Qualifications are all worsening the Assignment prices and as a result there is a glut of condos available for sale on Assignment. Buyers certainly have their pick of the most competitive prices out there.
It is also estimated that record numbers of original purchasers of these condos do not qualify for a mortgage since the value of these very same properties has declined sharply and has in many cases wiped out the entire equity of the deposits with the builders, which in turn leaves purchasers with a 25% additional payment to qualify for a mortgage. Price Many Buyers are simply unable to close because of New Mortgage Qualification rules and rising interest rates in 2023.
Buyers and Investors of these kinds of assignments are seeing significant value and future price appreciation built into these kinds of properties.
It is already December 2023 and there is no confidence in the economy or the Real Estate market or the Interest rates of Mortgages. In 2024, prices are expected to continue to decline and pre-construction condominium assignments will continue to be discounted heavily.
