Buying a condo when it’s in the pre-construction period may seem too rushed. In that scenario, it would appear that the unit is being purchased based on the architectural drawings on the developer’s sales site. The reality, however, is that buying a unit before construction is complete is not that simple.

Developers tend to modify layouts of a unit layout as work progresses. This is a necessity given the large number of changes that occur during construction. Purchase contracts are written to be advantageous. For example, a late completion of a complex will force buyers to experience delays. They may even be put in the position of occupying your unit while permitting is still being processed, as well as certain aspects of the construction itself.

Buyers can also fall victim to developers trying to sell units that are early stage and still own more than 51 percent of the condominium project. As time goes by, the developers may not be able to sell the remaining units.

A condominium that is unable to attract new buyers is likely to experience a large decline in the total value of its units. After realizing that there is not a high demand, the developers will decide to rent any units that have not been sold. The overall unit value drops even lower.

Buyers are advised to consult an experienced attorney to include their own terms in any purchase contract. By determining a fixed completion date, the buyer can ensure that they will get their deposits back if a developer gives an inaccurate time estimate. These types of arrangements can even help protect the existing value of previously sold units.

The time of completion must be in the hands of the buyer. It is strongly recommended that proceeds from the sale of a unit, as well as its deed, remain on escrow under the supervision of the developer’s attorney. Only once the developer has sold up to 51 percent of their units will this cease. Whoever buys the unit will have to pay occupancy fees to the developer, equal to a combination of the monthly maintenance fees and the mortgage in advance, as long as their deal goes according to plan. Many developers will try to push them without sticking to the terms you have set, so be mindful of how your dealings with them proceed.

You should also take into account the condo maintenance fees. Only for the first year of operation after the unit owners take over the complex are they guaranteed. Developers tend to calculate an initial budget based on the lower end so that condos attract more buyers overall.

Over the years, most unit owners will assume control of a complex. It’s almost like a rule. Afterwards, they are hit with a noticeably higher monthly maintenance fee that is meant to take care of excess developer costs. Starting in the first year, buyers will assume and expect to see higher maintenance fees. Naturally, this comes after the completion of the condo.