Buying a house is nearly always exhilarating, and the excitement can go to a whole new level when it’s a brand new-build! Since Toronto is a city that is always evolving, there are plenty of opportunities for buyers at all stages of development.
Pre-construction could be a perfect option for first-time buyers and retirees whose big move may be a few years away. Alternatively, you could look to a project that is further along in development if you hope to get your new home sooner.
The question is, how do you find the right home for your needs? Even more importantly, who can help you navigate the exciting world of new construction? In this post, we’ll talk about why you might want to partner with a Realtor® when buying a new build in Toronto.
What should you look for in your next home? Our Buyer’s Guide can help you navigate today’s market to find the perfect house in Toronto’s West End. Download your copy for free right here.
The Value of Representation Versus Self-Representation
Although there is nothing stopping you from walking into a model home and placing a deposit directly with the builder, you might want to take a step back for a moment. The builder’s representative may be friendly and helpful. Just remember that their loyalty is to their client.
Their goal is to earn the most profit by upselling you every upgrade possible. They may even have an incentive to sell you a less desirable unit because the builder has yet to find a buyer.
In fact, every piece of advice they can give you is for the builder’s benefit. If it also suits your needs, it’s a win-win and all is well. However, they will prioritize the builder’s interests, even if they don’t align with your own. It’s not a matter of ethics; it’s actually the law.
What Fiduciary Duty Means for You
Under the Trust in Real Estate Services Act (TRESA), a real estate agent and their brokerage are under a fiduciary duty to represent their client. In this case, the builder is the client. When you walk in and start talking to their representative, you become a self-represented party.
The only reason the builder’s agent can assist you is when it promotes their client’s goals. In other words, they seek to sell you the unit that benefits the builder the most, even if it’s less suitable for you.
If you want the best outcome in buying real estate of any type, it pays to have representation of your own. That includes pre-construction and new developments.
An abundance of fun activities is one of the top highlights of living in Toronto’s West End. Discover a few of the possibilities in the posts below:
- Top Hiking Trails In The West End
- Explore the Best of Toronto’s West End This Spring and Summer
- 5 Fun Activities for Kids in the West End
How A Buyer Agent Helps You
When you work with a real estate agent to buy your home, it becomes our fiduciary duty to represent you. We must make every reasonable effort to secure your purchase at a fair price and ideal terms. Since most people buying a home don’t deal with real estate every day, this representation and level of service is invaluable.
An experienced Realtor® knows when and how to negotiate and will advocate for you to ensure you secure the right home in an ideal location while avoiding unnecessary expenses or complications.
Many real estate agents in Toronto also have long-term relationships with the biggest developers. As a result, they have extra incentive to work with us to create a positive outcome for our clients. It could mean a concession on price or a desirable upgrade included with the deal.
You Will Have More Options
Buying directly from a builder can limit your options as to what homes might be available and when. That’s because that particular representative only works for one company. Since they are legally compelled to serve the builder’s best interest, they’re certainly not going to recommend that you buy from one of their competitors!
You might have to wait longer than you’d hoped for a specific project to be completed. Or you may end up with a unit that isn’t quite what you had in mind. Neither of these scenarios is ideal.
On the other hand, your Realtor® works for you. They can bring you a number of options from many of Toronto’s top developers, not just a single company. We can compare prices, layouts, neighbourhoods, and potential upgrades to determine the best match for you, now and in the future. Whatever your vision and timeline may be, our mission is to make it happen on your terms.
Looking for more tips on buying a home in Toronto? The posts below will give you some valuable insight:
- What Should You Look for in a Home Inspection Report?
- 5 Little Known Things to Look For When Touring a Home
- 5 Questions to Ask About a Home Before Making an Offer
To Upgrade or Not to Upgrade
While the builder has every incentive to convince you to invest in as many upgrades as possible, they aren’t always the best value for you. In some cases, you can save money by going with the base model and then arrange for your own updates later as your budget allows, especially for aesthetic features, such as window coverings or paint.
Others are more cost-effective from the beginning. Anything structurally integrated will be difficult and potentially very expensive to change later. If you want higher ceilings, more or larger windows, or additional square footage, it’s advisable to opt for the upgrades before construction begins.
Your real estate agent will work with you to create a vision of what you want and need in your home, as well as any compromises that can lead to a better deal. You might not need an additional bathroom or electric vehicle charger now.
However, you could invest in a rough-in that allows the possibility later. If and when you want to upgrade, you can do so at a lower cost and with fewer disruptions. When in doubt, your real estate agent will give you the answers you need to make the best selections.
A trained professional will help you in all aspects of your transaction, from deciding on a location and choosing your upgrades to negotiating the best price and terms. Even better, these advantages could come at no extra cost to you – the builder generally pays any real estate commissions. This level of expertise is something you don’t want to be without when you’re counting on the best results from your purchase.
Do you want to know more about buying or selling a home in the West End? Our West Toronto real estate agents are happy to help. Reach out today at 416-769-3437 or email info@sidorovainwood.com with any questions.
