Receive up to 2% rebate (cash back) on the
purchase of a preconstruction condo. We have
information on almost every county in the state of Florida on true preconstruction opportunities
that are in the conceptual/design stages of the
project. Right now we are focusing on Palm Beach
information on preconstruction condo developments will
be available on the web site within the next couple of months.
For now, we are featuring Palm Beach County. Feel free to call us
at 561.533.9797 or email us to receive more detail on condo projects
and their various stages of completion.
Preconstruction Buying Process
WHAT IS PRECONSTRUCTION ? Preconstruction refers to a sale of a property before the ground is even broken to begin the development. It is a win-win situation: Builders need a % of homes sold before they can obtain construction financing and buyers get best price and best selection. There are typically 3 Phases when you buy preconstruction. The phases are different than when you purchase from a resller or when you purchase a new home having seen the actual models.
|1. Reservation - Phase 1|
|You basically are indicating an "intent to buy" based on drawings, blueprints, features etc. all of which are subject to change during this period of time. Typically a cash deposit is required (somewhere around 5% of the purchase price). These funds are typically placed in an interest bearing trust account that is held in trust for the Builder. The Buyer gets the best price with the best selection and the Builder gets committments that are needed to obtain construction financing. In most cases the Buyer can cancel the Agreement at any time and get the cash deposit with accrued interest back.
|2. Conversion to Contract - Phase 2|
| A Purchase Agreement is presented for signature to the individual that holds the Reservation. At this time a copy of the state approved condominium documents is pesented to the Buyer, that contain the final details including site plan, floor plans, features, association rules, by-laws, etc. Buyers are allowed a short period of time, typically one to two weeks to “convert” from reservation to Purchase Agreement by returning the signed agreement with the balance of the first ten percent deposit. The Buyer then has fifteen (15) days from the date of the Purchase Agreement to move forward with the purchase or rescind the agreement for a full refund of all monies paid, with interest, if any.
|3. Contract Closing - Phase 3|
Buyers are informed ( usually 30 days in advance) of their scheduled closing date and walk through. When the construction is complete and a Certificate of Occupancy(CO) is issued to the builder by the appropriate authority, the sale takes place.