Tag Archives: pre-construction projects

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Delayed construction projects in the GTA will hurt government revenues

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Delayed construction projects in the GTA will hurt government revenues

The residential construction industry was granted essential workplace status under Ontario’s emergency orders during the COVID-19 pandemic. The industry was able to finish homes that were near completion and work on important infrastructure projects such as hospitals. Nevertheless, overall development and building projects across the GTA were delayed. This will have farreaching impacts on housing supply in an already tight market, as well as negative financial impacts on government coffers.

You may be thinking: If the industry was permitted to work, why are there delays? The response is a little complicated. Some municipalities had to adjust to working remotely, which slowed or stopped processing of planning and building applications that stalled developments and construction projects. Worksites had to adjust to COVID-19 protocols as social distancing rules negatively impacted productivity.

To get a better understanding of how the pandemic affected the building industry, BILD surveyed is members to understand how they were impacted. The survey found that there were 498 active projects in the GTA, representing 156,000 units at various stages of the development process. In Toronto alone, 276 projects were affected. The survey found that 65 per cent of active pre-construction projects reported delays of three to six months, and 32 per cent were greater than six months. Eighty-three per cent of not yet above grade projects reported delays of three to six months, and 11 per cent are greater than six months. Eighty-five per cent of projects under construction permitted for above grade reported a delay of three to six months, and five per cent are greater than six months.

The Altus Group examined this survey data and concluded that these delays will result in the loss of about 9,000 housing starts over the course of the next 18 months. This will delay occupancy of more than 8,000 units by the end of 2021, potentially exacerbating an already existing shortage of housing in the city of Toronto, reduce construction activity and see the loss of 10,000 jobs per year.

Federal, provincial and municipal government revenues will be detrimentally impacted by the loss of housing starts throughout 2020 and 2021. Lost revenues include $340 million in lost development charges, $13.5 million in lost education development charges (TCDSB), $26 million in property taxes, $364 million in HST, $53.8 million in provincial land transfer tax and $52.5 million in lost municipal land transfer tax.

Now more than ever, all levels of government must work together to make sure that proper measures are in place to remove barriers that will unlock consumer and industry construction investments to help kick-start the economy.

Dave Wilkes is President and CEO of the Building Industry and Land Development Association (BILD). bild.ca

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Moving into a home the smart way

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Moving into a home the smart way

Whether you are a first-time homebuyer, a professional couple, a growing family or an empty-nester, if you are considering the purchase of a new or resale condominium suite or lowrise home with a condo component, it is best to be aware and prepared. The following are a few tips to get yourself organized so you come up with the best choice.

  1. Ask yourself, what are your personal and family needs? My advice is to make a list of priorities. Are you buying for the first time? Upsizing? Downsizing? Are you looking for more space, less space, or if you’re living in your parents’ basement, will any space at all do? Do you like the idea of having a backyard in a townhome, or does the idea of having beautiful condo amenities under your roof appeal? If children are involved, do you require proximity to a school? Realize that size is relative – you will find condo suites that are larger than some townhomes, and vice versa. Keep layout at the top of your interior priorities. Think about how you like to live and determine which plans accommodate those needs.
  2. Once you want to start looking around, hire a good realtor. The marketplace is packed with choices (including condominiums and lowrise homes with a condo component) in Toronto and the GTA. There are realtors who are familiar with the area you select, and they will guide your search. Remember that purchasing a condominium is different from freehold lowrise; it is wise to work with a realtor who can help you understand all of the nuances.
  3. Consider pre-construction for a variety of reasons. Resale is fine for some shoppers, but in many ways, it is like wildly looking in the dark. Buying early in the selling cycle of a new mid- or highrise condominium usually allows you a two-to-five year window until move-in, which means you can save more for your down payment, and you will likely earn equity before you even take possession. Many condo purchasers nowadays earn 20 to 40 per cent in equity prior to closing. This is huge for anyone, but especially young first-time buyers.
  4. Next, get your finances in order. Find out what you can afford, and buy as much as that allows for – as long as you’re comfortable with it. You know what debts you have to pay off and how much disposable income you need each month to keep up your current lifestyle. If you are downsizing from a large lowrise home, you have to decide how much money to take out of the home, how much to invest, and whether to use a condo as your main residence or a second property.

There are condominiums popping up in Regions of Peel, Halton, York and Durham, where prices are more attainable than Toronto. From Mississauga to Pickering and beyond, you will discover a plethora of choices with differing architecture, amenities, views, layouts, sizes and prices. The goal is to find the right one for you, and a realtor can help you along the way to your best decision.

Debbie Cosic, CEO and founder of In2ition Realty, has worked in all facets of the real estate industry for over 25 years. in2ition.ca

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Toronto VIP New Condos Portal

Toronto VIP New Condos Portal

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Toronto VIP New Condos Portal

Get VIP Access to Pre Construction Condos Toronto

TorontoCondo4u is managed by Aman Kapoor, a Platinum VIP agent who offers the most up-to-date information about pre-construction projects across the GTA. Registered clients are guaranteed access to purchase units before sales are open to the general public and with VIP prices and incentives.

TorontoCondo4u provides you with the opportunity to:

  • Invest at the lowest price point with additional developer specific VIP incentives (i.e.: discounted parking price, discounted locker price, decor dollars);
  • Get the first pick at floorplans and choose the unit that is best suited to you;
  • Avoid missing out on hot new homes and condos across GTA.

Get your VIP realtor to do the work on your behalf such as assist in picking the best floorplan, views, choosing the best priced units and getting you additional incentives.

What differentiates the company from others is the personal touch provided to all clients. A myriad of clients with different backgrounds seek information on pre-construction projects. The team at TorontoCondo4U ensures that each client is provided with information that suits their needs. From investors to those starting a new chapter in their lives, the team at TorontoCondo4u provides a personal approach that is sometimes lost in this technological world. Each client has a wealth of information at their disposal including best prices, VIP incentives, floorplans and most importantly, direct contact with the team to seek the answers they need to comfortably make their purchase.

Be in the first group of select buyers to get access to the best units outside of the developer’s friends and family. What it means to get first group access:

  • Get Day 1 red carpet access to new projects, promotions and sales events;
  • Don’t need to wait in any line-ups or drive tirelessly to different sales offices;
  • Reserve a specific unit ahead of all other buyers in the comfort of your own home simply by completing a worksheet;
  • Get to work with a specialist, someone who has sold hundreds of condos and will help you save thousands and avoid common pitfalls.

With one million new homes coming to GTA in the next two decades, getting first-hand access with the best prices and options available is the first step to ensuring your next purchase is the best one yet.

Generally, developers in the GTA follow a staggered formula when they sell their pre-construction projects:

  1. Friends and Family sales event (5-10 per cent of units get sold)
  2. Platinum VIP agents get access (30-40 per cent get sold)
  3. VIP agents get access (20-30 per cent get sold)
  4. All agents get access (10-20 per cent get sold)
  5. Pre-registrants get access (5-10 per cent get sold)
  6. Grand Opening to the public (last 10-20 per cent gets sold)

Buying with TorontoCondo4U.ca guarantees you access to at least 90 per cent of unit availability with the best options and prices available. Considering Platinum VIP realtors sell the largest percentage of the project, developers ensure their Platinum VIP realtors are offered the best prices and best incentives along with the earliest access to the project, keeping their realtors motivated to continually sell.

Register on TorontoCondo4u.ca today or call (647) 544-4663 to become a VIP member and receive the latest updates on new project launches and save thousands on your next purchase.

AMAN KAPOOR
aman@torontocondo4u.ca
TorontoCondo4u.ca
(647)-544-4663


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