Presale Condo FAQ — Your Questions, Answered

By Uzair Muhammad, REALTOR® — Real Broker BC · Published

Get answers to 15 common questions about buying presale condos in BC. Learn about costs, timelines, risks, and what we do to help.

PresaleProperties.com is the buyer-side representation practice of Uzair Muhammad (REALTOR, Real Broker BC), serving presale and new construction buyers across Metro Vancouver and the Fraser Valley from 3211 152 St, Building C, Suite 402, Surrey BC V3Z 1H8 — (672) 258-1100.

Presale Condo FAQ — Your Questions, Answered

After helping over 400 families purchase presale condos and townhomes across British Columbia, we have heard just about every question imaginable. Here are the 15 most common — with straightforward, honest answers.

1. What is a presale condo?

A presale condo is a unit you purchase directly from a developer before construction is complete. You buy based on floor plans, renderings, and a legal Disclosure Statement. The building is then constructed over 2.5 to 4 years, after which you take possession of your brand-new home.

2. How much does it cost to work with a presale agent?

It costs you absolutely nothing. Developers pay real estate agent commissions when a presale unit is sold. Our job is to represent you — negotiate on your behalf, review your Disclosure Statement, guide you through deposits and completion — all at zero cost to you.

3. What is the typical deposit for a presale condo in BC?

Deposits typically range from 5% to 10% at signing, with additional deposits due at construction milestones. Total deposits usually add up to 10-20% of the purchase price, spread across several installments over 6 to 18 months. All deposits are held in a lawyer's trust account — not by the developer.

4. How long does it take for a presale condo to be built?

Most presale condos in BC take 2.5 to 4 years from purchase to completion. Concrete high-rises tend to take longer (3-4 years), while wood-frame low-rises and townhomes can be completed in 2-3 years. Delays of 6-12 months are not uncommon.

5. What is the 7-day rescission period?

BC law gives you seven calendar days after signing a presale agreement to cancel the deal and get your deposit back — no questions asked, no penalties. This is mandated by the Real Estate Development Marketing Act (REDMA) and is one of the strongest buyer protections in Canada. Use this time to have a lawyer review your contract and confirm your financing.

6. What is an assignment sale?

An assignment sale is when you sell your rights to a presale contract to another buyer before the building is completed. You are not selling property — you are selling your contract. The new buyer steps into your shoes and completes the purchase. Many presale contracts allow assignments, though some developers charge a fee or require approval. BC's Home Flipping Tax may apply to assignment profits within two years of purchase.

7. What happens if the developer cancels the project?

If a developer cancels a presale project, you receive a full refund of all deposits. Your money has been sitting in a lawyer's trust account, protected from the developer's creditors. While you lose the opportunity cost of having funds tied up, your principal is completely safe.

8. Do I need mortgage pre-approval to buy presale?

Mortgage pre-approval is not required at signing, but it is strongly recommended. Pre-approval helps you understand your purchasing power and budget. Keep in mind that your final mortgage will not be arranged until closer to completion — potentially 2-4 years later — so rates and qualifying criteria may change.

9. What warranty comes with a new presale condo in BC?

All new homes in BC come with mandatory warranty coverage under the Homeowner Protection Act:

This is administered through BC Housing and provides significant peace of mind that resale purchases do not offer.

10. What are the risks of buying presale?

The main risks include:

These risks are real, but they are manageable with proper planning and professional guidance.

11. Can I customize my presale condo?

Yes. Most developers offer a colour and finish selection appointment, typically a 30-60 day window during construction. You can usually choose from 2-3 colour palettes for:

Some developers offer upgrade packages (quartz countertops, upgraded appliances, etc.) for an additional cost.

12. What is VIP access and how do I get it?

VIP access gives you early entry to a presale launch — before the general public. Benefits include:

You get VIP access through specialist presale agents like The Presale Properties Group. We maintain relationships with developers across BC and register our clients for priority access at no cost.

13. What is the difference between presale and resale?

| | Presale | Resale | |---|---------|--------| | What you buy | Plans and renderings | Actual unit you can walk through | | Move-in | 2-4 years | 30-90 days | | Condition | Brand new with warranty | Varies | | Price negotiation | Limited | More flexibility | | Deposits | Staggered over months | Lump sum at subjects removal | | GST | 5% (often included in price) | None |

Presale is ideal if you have time and want to lock in pricing. Resale is better if you need to move soon.

14. Can I use FHSA or RRSP to buy a presale condo?

Yes. Two powerful programs are available to first-time buyers:

A couple can combine both programs for up to $150,000 in tax-advantaged savings — more than enough for most presale deposits.

15. What areas do you cover?

The Presale Properties Group covers presale projects across:

We specialize in the Fraser Valley corridor where we have the deepest developer relationships and market knowledge.

Still Have Questions?

We have helped over 400 families navigate the presale process. No question is too basic or too detailed — we have seen it all.

Book a free 15-minute consultation and get personalized answers for your situation.

Disclaimer: This FAQ is for informational purposes only and does not constitute legal or financial advice.

Founded by Uzair Muhammad, REALTOR® — Real Broker BC