South Florida New Pre-Construction Condo Payment Structure

South Florida New Pre-Construction Condo Payment Structure


South Florida New Pre-Construction Condo Buyer Payment Structure



 

Preconstruction Condo Buyer Payment Structure and Steps in the purchase and building Process:Putting your money in a preconstruction  project has its perks. First of all, you can invest with a little amount of money; you can leverage a large asset and 10 to 20% of the real estate appreciation can be enjoyed by you. Typically enjoying the property over time without the carrying interest, costs and taxes.
There are four different phases each preconstruction condo project goes through:   
 
STEP 1 - RESERVATION
Deposit of 10-20%  - of the unit value or a deposit of $10,000 to $15,000 with a letter of intent
This is the first phase; the developer offers the lowest price of all future phases. Usually, the prices are below the market price and the testing of the real demand project is done by the developer, the process of financing with current lenders. The chosen unit the buyer reserves the desired unit with a deposit of $10,000 to $15,000 with a letter of intent
(this payment is fully refundable) with a reservation agreement.

 
STEP 2 - CONTRACT - A 20% deposit to contract
- As soon as the developer reaches the stated total of reservation agreements, they create the "hard-contracts" with the "condominium-documents" specifying the technical and legal specifications of the development in detail. After 1 to 3 months after the "reservation agreement," this stage is usually reached.
 

STEP 3 - CONSTRUCTION - Additional 10% at the ground break
- The second deposit of 10-20% is required after the construction of the project takes off or the construction "breaks ground"; The construction of the project usually lasts between eighteen months to two years. 

 
STEP 4 – BUILDING IS TOPPED OFF - Another 10% of a total of 50% down or 10th floor is reached
- When roof of the building is complete or when construction reaches the level where buyer's property is another 10-20% of the payment may be required.

 
STEP 5 – CLOSING - The remaining 50% will be required.
- After the project development is completed usually after 18 months to 2 years later. The buyer finishes the transaction by "closing" the unit. Currently, the remaining percentage to be paid will be required, and the cash payoff or the mortgage, the closing costs and other typical expenses related to a Florida real estate transaction will have to be available.


 
PLEASE NOTE - you always have a 15 day "decision period" when you buy a preconstruction condo. At this time you are allowed to terminate your contract any time and for any reason. You can install your own flooring and any other decorator items if your choice because generally speaking the condos are delivered in "designer-ready" condition.
 
We are trained realty professionals with knowledge about preconstruction project, and  Sotheby's International Realty can be of assistance to you. We are also available to answer your questions on realty.
  
What are the advantages to work with RealStoria Sales Team experts when purchasing preconstruction condos? As professionals, we will:
Bring to your knowledge the existence of a new preconstruction project before it is made public,  with the comparison of prices of similar buildings in the neighborhood.               
We will also bring to your knowledge about community infrastructure and developments like civic investment and service retail that are likely to affect the future value of your property.
Our Sales Team will  advice you on other choices that satisfy your needs and help you negotiate the terms of the contract and help you get relevant information of the developer like the information of the financial strength of the developer.
More importantly, our services are offered freely to you because the developer pays the realty and service fees. 

Contact us at 800-844-1315 and schedule your free private consultation and property touring.


 
Broward New Preconstruction
Deerfield Beach Fort Lauderdale Lauderdale by the Sea
Hillsboro Beach Hallandale Hollywood
Pompano Beach Sunrise Weston










 

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