[shyne07]

Hi,

I was planning on purchasing a pre-sale condominiums and found 2 that I am really interested in.
They both are very close by, Yorkville and Yonge Bloor area.

I want to buy two 3~400,000 range condominiums,
I have enough money for both downpayments (20~25%).

I am planning on selling one on assignment or even both of them,
they will be my investment properties.

Other than the worst case scenario of market crashing,
are there any other serious factors I should consider?

I am going to check if assignments will be available for both of them,
also hidden fees and completion dates..

I want to first purchase good units and see if the purchase is good or not during the 10day cooling period.

 

[carturo15]

Yes, you have too much to worry about when you think in real estate as a game. You are not thinking as an investor, you are thinking as an speculator. You should never buy real estate planning to sell it with assignments. Real estate is a long term matter. If you are going to buy real estate you should be prepared to close your units and take possession. What you are planning to do is very risky and that is one of the reasons why a real estate market could crash.

 

[NikoS]

I agree with carturo... if you can't close and hold both then don't buy both...

 

[UrbanVigor]

If you are going to buy real estate you should be prepared to close your units and take possession.

Nuff said.

 

[cdr108]

don't listen to any of the doomers ... just your agent and the R/E industry and developers.

put every cent you have into pre-construction and you'll double your money in 5 years by flipping it, guaranteed !

forget about needing to close, or positive cash flow to cover all expenses + some profit to compensate for risk since you have none ... having to subsidize the tenant $500/m is no big deal

/// end sarcasm

 

[CN Tower]

Hi,

I was planning on purchasing a pre-sale condominiums and found 2 that I am really interested in.
They both are very close by, Yorkville and Yonge Bloor area.

I want to buy two 3~400,000 range condominiums,
I have enough money for both downpayments (20~25%).

I am planning on selling one on assignment or even both of them,
they will be my investment properties.

Other than the worst case scenario of market crashing,
are there any other serious factors I should consider?

I am going to check if assignments will be available for both of them,
also hidden fees and completion dates..

I want to first purchase good units and see if the purchase is good or not during the 10day cooling period.

Shyne,

Based on your comments above it appears that we the people of Toronto are the ones that have the most to worry about.

The worst thing to happen to you is being stuck buying hundreds of thousands (if not over a million) worth of speculative real state that is fully recourse to you, ie you are 100% obligated to close both those deals regardless of your financially ability to do so. Toronto however gets stuck with a speculative hangover that could last for years and result in significant damage to the local and regional economy.

Good luck though.