Real Estate

Help! How to get out of a pre-construction contract ASAP?

  • Last Updated:
  • Oct 20th, 2020 10:44 pm
Member
Mar 2, 2017
418 posts
508 upvotes
Markham
Because their IPO was a complete flop after the shotty Softbank investment DD and CEO were exposed, and their entire model isn't self sustaining. They are mothballing like 80% of locations as they've setup their business with each location being a separenate entity. Meaning WeWork doesn't have to go bankrupt while its individual locations can go bankrupt and are closing. The big question is which downtown Toronto locations will survive. I don't think WeWork will completely cease to exist, but it will be 1 or 2 locations at most. Banking on them as a long term tenant is a shitty bet.
Realtor, Investor, CPA
Deal Addict
Jan 17, 2006
2083 posts
2163 upvotes
Toronto
Wiretin wrote: this guy is looking at $1000.00 a month of negative cash flow, and i assume he is being optimistic that he gets a solid tenant that pays his bills on time. he is going to need a lot of condo price appreciation to get out of this in 5 year without a loss. its possible prices go down in 5 years as well. don't forget about the transaction costs , taxes, relator etc.

I'm sure the OP is not the only recent purchaser looking at the math on these condos.
OP is trolling, he just created account to post it here, don't take it seriously.
Show me some deals on condos in DT I will add one more to my portfolio. Don't look at the list price, show me sold bargain.
Deal Fanatic
Feb 9, 2009
9623 posts
7217 upvotes


this thread is famous!
Sr. Member
Feb 12, 2005
554 posts
24 upvotes
Not a real post. OP a troll for the many forums betting against the market.
Sr. Member
Jul 22, 2015
583 posts
191 upvotes
Ontario
Sanyo wrote:

this thread is famous!
LOL..this post is also in the Facebook group "Toronto Housing Market Bubble"
Deal Addict
Mar 27, 2004
4625 posts
2271 upvotes
Toronto
relax. it's not a troll post
Full-time Realtor
Newbie
Jul 5, 2018
58 posts
84 upvotes
ilim wrote: OP is trolling, he just created account to post it here, don't take it seriously.
Show me some deals on condos in DT I will add one more to my portfolio. Don't look at the list price, show me sold bargain.
Youre actually in denial. It showed when you were discussing Harbour Plaza with me in the other thread.

Very close to delusion at this point.
Sr. Member
Dec 22, 2007
606 posts
305 upvotes
Mississauga
AnonymousHuman wrote: I bought a pre-construction condo in June near downtown Toronto in liberty village area and now I really really want to get rid of it based on the following considerations.
  1. The original intent was to rent it out as investing property, obviously Toronto rental prices isn't coming back up any time soon, I would need to cover about $1k per month even at current rental prices
  2. The down-payments would already stretch me really thin, I would not be able to cover any shortfall when the bank appraisal comes back less than book value
  3. Expected occupancy is end of 2021 to early 2022 - I doubt rental or sale prices will come back close to what the pre-covid projections are

Does anyone know what would happen if I default on future payments? I'm willing to give up the $40k I already paid, next payment of $40k is due next Feb
What other options do I have? sell as an assignment next year at a loss?

Any advice is greatly appreciated!
i'll buy it off you at 50%. feel bad for you but not at the same time its an investment just like if you options in company x and then it started to go down it was a risk you took so either hold or sell at what the market will pay. Personally have sympathy for you but dont for the industry as a whole.
Deal Addict
Mar 22, 2010
2878 posts
795 upvotes
DeletedMemories wrote: i'll buy it off you at 50%. feel bad for you but not at the same time its an investment just like if you options in company x and then it started to go down it was a risk you took so either hold or sell at what the market will pay. Personally have sympathy for you but dont for the industry as a whole.
oh get lost
Deal Addict
User avatar
Apr 12, 2013
1586 posts
538 upvotes
Markham
DisneyKruze wrote: International students will only be back when the universities/colleges open up their campuses for in-class teaching. And this won't happen until fall 2021 at earliest. Will condo owners with vacant units wait until then to be able to lease their units? Or will they unload their condo earlier? Stay tuned.
Well do you want to buy when they are back or do you want to buy now? I think if you're a first home buyer this is the time to move. I am looking at a one bedroom in the DT core myself.
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