​By now you’ve probably heard about the “condo boom” going on in the GTA, which is quickly spreading across the province. If not, just look up. I’m sure you’ll see condos that have either gone up, or are under construction all around you.

​Buying a condo or co-op is exciting, but there’s also a deeply emotional element to the process, especially for first-time buyers. However, if you know what to expect, you’ll be better able to deal with the ups and downs. Here’s how I counsel my clients.

​When deciding to purchase a condo, one of the first decisions you will be faced with is whether to go with a pre-construction condo or a more conventional resale condo. While the cosmetic appeal of buying a new condo unit may seem enticing, there are many aspects to consider before diving into the purchase.

Down Payment

One of the main differences when purchasing a pre-construction condo, opposed to a resale condo, is the way it is financed. On a resale condo, you can put down as little as 5% towards the purchase price. On a pre-construction condo, however, you are often required to have at least a 20% down payment. That amount may seem high but the full payment is broken up into smaller installments, made in what is usually referred to as the deposit structure.