5 Benefits of Buying Presales with Geoff Jarman: A Savvy Real Estate Investment
Definition of PRESALE from the Collins Dictionary: NOUN, “the practice of arranging the sale of a product before it is available.”
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In Vancouver and Greater Vancouver, there are massive developments occurring everywhere! So how do you narrow the field down to find the right investment without seeing the building, or having comparable sales information to make an educated decision? Consulting with an experienced realtor who has substantial presale and resale experience is a good starting point. For over 21 years Geoff has assisted his investor clients with purchasing their investment properties as well as reselling them when the time is right.
He understands that not all presales are created equal! Geoff selects only the projects he believes will appreciate the most with the least amount of risk. He will advise you on the development’s significant features, including the positives and negatives. You will have an understanding on what will add value to, or hurt, your investment when you decide to sell. Geoff will advise you on pricing, as some presales are overpriced for what they offer. Plus, he will educate you on which builders are the best!
- Early Access and Choice:
When you are buying a presale property, you are getting a front-row seat to the development process. Geoff’s trusted, long-standing relationships with several developers get him through the presentation centre door early. Advanced access ensures you have a selection of the most desirable units, allowing you to tailor your investment to your preferences. Together with Geoff you will choose your desired unit from the available floor plans and secure prime locations within the building or community. Geoff will advise you on the best floor plan, the best exposure (North, West, East, or South) for each building, and how high to go in price for optimum resale value. He will guide you on any “extra” features. For example, Geoff will emphasize the value of making sure you always get a parking spot, as parking is limited in many developments due to city restrictions. Sometimes the smaller units do not come with parking, which, in Geoff’s opinion, is a deal-breaker.
Geoff Jarman, with his insider knowledge and nurtured relationships, can provide you with exclusive access to the latest presale listings.
- Potential for Appreciation:
Presales are leveraged investment opportunities, offering significant advantages. One of the most noteworthy benefits is their potential for appreciation. As the property is still under construction, you can potentially benefit from market price increases before you even move in. This results in substantial gains upon completion.
As a leveraged investment opportunity, you only need to provide a 15% to 20% deposit over the first 1-2 years after writing a presale contract. Over the several years of the construction process, the building’s value increases by its purchase price, resulting in an appreciation of the other 80% to 85% of the property value that you do not need to fund until completion.
Geoff Jarman, with his expertise in the real estate market, can help you identify presale opportunities with high appreciation potential.
- Modern Features and Finishes:
Presale properties often come equipped with the latest in design and technology. Developers typically incorporate modern amenities, energy-efficient appliances, and high-quality finishes. This ensures that your new home is equipped with contemporary features and built to current higher building code standards. Geoff Jarman guides you in assessing the quality of finishes and features in presale properties, ensuring that you’re investing in a top-notch home.
ADDED BONUS! Once the presale is almost ready for occupancy the developer will allow you to walk through and inspect your unit. Geoff will join you. Together, you will work on the unit’s deficiency list, which will be submitted to the developer, so that all the final touches are completed to your satisfaction.
- Warranty Protection:
Presale properties offer warranty protection. The warranty can provide peace of mind, as it covers structural issues and other defects. You won’t have to worry about hidden surprises, as the warranty protects you during the initial years of homeownership. Geoff Jarman can help you understand the warranty terms and conditions, ensuring that you are aware of the protection you receive.
- Understanding Contracts:
Presale contracts can be complex. Geoff ensures that you understand the terms and conditions, protecting your interests throughout the process. Throughout the development process you will receive amendments to the development’s Disclosure Statement. Each development has its own Disclosure Statement which outlines material facts about the development, and the statement is usually drafted before the development starts any construction. A Disclosure Statement will require revisions as the developer undergoes the process of building.
Geoff will review the developer’s changes with you so that you understand what is being revised.
In Conclusion:
Presale properties offer a unique and rewarding path into the world of real estate, providing early access, capital appreciation, and the advantage of not needing a mortgage for several years until the building is complete. Geoff will be working for you from booking your early presentation centre access to ensuring that your home’s deficiencies are resolved. For investors, these properties offer excellent rental income and warranty protection. For those who are investing for personal use, you can trust that you are moving into a top-notch NEW home!
