Condos increase in every community from the South Coast to Aventura, Brickell Avenue to Dadeland, Downtown Miami to North Bay Village. If you want to invest in a pre-construction condo, you will be offered hundreds of opportunities to have "a future home at today's prices."
One of the biggest advantages you will get in investing in a Miami pre-construction condo is that you can get pre-construction opportunities without spending a fortune. Why? The booking fee for Pre Construction Downtown Miami Condos or New Condos In Miami is a relatively small amount which is usually 15 to 25%. With this minimal investment, you can enjoy real estate appreciation of the property from time to time without carrying costs such as interest and taxes.
Image Source: Google
Before you decide to invest, however, it would be better for you to have an eye view of the specific phases of development involved in pre-construction condominiums. This will allow you not to get caught up in the real estate business. The first phase is the reservation stage where the developer offers the lowest priced units. Usually, the price will fall below the current market price. This gives developers the opportunity to determine the demand for the project and helps in the financial aspects faced with their current lenders. Buyers are given the opportunity to order units at a rate of at least 5-10% or a maximum of 20%. This, of course, can be fully refunded if the transaction does not materialize, as stipulated in the "reservation agreement."
The second phase is the contract. After fulfilling the required reservation agreement, a "heavy contract" is made. These documents will set out all the legal and technical specifications of the condominium project. This is the time when you will be asked by the developer to pay the full 10% of the contract price. The next stage is the construction stage. After the construction of the condominium unit begins, you must pay another 10% as a 20% deposit completion. The project can be completed in 6 months to 2 years if construction runs smoothly and no unnecessary delays are met.
The final phase is "closure" where you will be asked to complete an 80% balance payment plus a mortgage or cash payment, closing costs and all related fees in each Miami real estate transaction.