100 Queen condo downtown . Frequently asked questions about the transfer of Toronto apartments. This was originally a backup opportunity given by developers to buyers because the delivery period of uncompleted apartment buildings is longer.Please Visit: 100 Queen condo downtown to Get Your VVIP Registration Today!
The family situation or economic situation of the original buyer may change before the house is closed, or due to other reasons, they cannot finally hand over the house, and the original buyer can transfer the property to another buyer before the house is closed. complete the legal transfer of the housing contract without changing the details of the original contract for the sale of the house.
Due to the good real estate market in the past 10 years, the purchase of apartment buildings has appreciated significantly after a few years, and the price difference can be earned after the transfer. The investment is low and the return is high, so it attracts a lot of investors. There are some common problems in the transfer of uncompleted flats that need everyone’s attention. The transfer of uncompleted flats is not a transfer of the house, but actually a resale and purchase contract.
- The first step is the most important: check the original sale and purchase contract to confirm whether the developer allows the house to be transferred. (most developers will agree and charge a certain fee).
- Find out the terms and conditions: are there any regulations or restrictions on the advertising channels for housing transfer, such as whether they can be posted on MLS, can only be sold privately, or are sold internally through developers.
- The developer needs the transferor (Assignor) and the assignee (Assignee) to sign the developer’s consent form (Consent Form) or the transfer contract (Assignment Agreement).
- Transfer fee: generally paid by the transferor (Assignor) or by agreement between the two parties.
- After the completion of the transfer, the assignee generally needs to pay: the down payment already paid by the assignor to the developer + the difference earned.
- Complete documentation: the assignor needs to provide documents such as the original sale and purchase contract to the assignee.
- The developer generally does not allow the assignor (the original buyer) to give up the property unless the assignor finds the assignee and completes the whole transfer process.
- The transferor (the original buyer) needs to pay the lawyer fee, developer consent fee, real estate agent commission and other related fees arising from the transfer of the house.
- Ask the lawyer to carefully read and check the original sale contract and related documents, and sign the transfer agreement.
two。. It may be necessary to prepare a loan pre-approval document (Mortgage Pre-approval) to the developer to prove that the assignee can obtain a bank loan.
- The transferee shall agree on a date on the document to pay the price difference caused by the transfer of the house. (it can also be what we collectively call the uncompleted property transfer Closing Day).
- The price of an Assignment house is usually lower than the total price of a new existing house, but more money is needed in the early stage. The assignee can transfer the loan according to the transfer price when the house finally hand over the loan, and the surplus part can offset the previous funds.
After check-in: the assignee may have to pay the following fees when in Occupancy Day:
- Last down payment (depending on whether the original contract is required).
- occupancy fee: government rent (estimated), management fee, developer interest, other miscellaneous fees generally developers will require an expected cheque for six months or one year (Post- dated cheques) final delivery date (Final Closing Day).
The following fees need to be paid to the developer:
- Levies fee (usually developer Cap).
- The developer’s lawyer’s fee is about $70.
- Two months’ accommodation fee shall be used as the reserve fund of the building.
- Tarion New Housing Insurance (about $600-$1900).
- Installation and connection fees for Hydro, water and gas meter.
- Discharge of builder’s mortgages, is about $200-$300.
- Legal fees for lawyers.
- Land transfer tax.
- GST/HST Rebate: for the final buyer, you can apply for this HST rebate if you meet the requirements for applying for a new house rebate (self-living / renting).