Assignment for your Condo? Here are some of the things you should know!

Ten York Condo

If you want to get agents to sell your properties by Assignments; there are few things you should know.  Checklist the following items:

1. You need to get the approval from the builders, if you can assign or not

2. Builders will let you know the allowable date to assign you units; there are many restrictions based on each individual builders (seek detail instructions and guidelines before proceeding)

3. Usually, the builders will not allow original buyers to assign 90 days before the occupancy date for various reasons (so, please verified any conditions with the builders)

4. Assignment is really; a privilege provided by the builders.  Before occupancy date, you really Do NOT have any ownership of the units that you had put deposits already; full ownership has not transferred yet!

Ok, that's just say, you got the approval from the builder to assign your units/properties. There are still a few things that you should be aware of because It is risky and dangerous if you do not followed the procedures in a lawful manners.  They are the following:

1. You Do NOT allowed to advertise your assignment in any way; only through personal connection

2. If any agent advertise on any types of media, it is considered unlawful, for example, social media such as Kijiji, MLS (the listing will be audit and suspend it) or even through internal connection through agency, it is still considered an unlawful act; if you or your agents do any of the above; you both might get into trouble with the law and the builders.  The consequence could be quite damaging, you (as a buyer/investor) could loss your deposits as well

3. Let's say, you are lucky and there is a potential buyer interested in your assignment.  Now, there is an issue for the buyer, because she/he will need to come up with sum of cash, which (include your profits plus seller's original deposit for the builder).  In the end, the buyer might not be able to afford it

4. Buyer: If you really want to buy and take over the unit, please make sure the seller is in condition.

Obviously, there are a lot more information that I can cover but for now, this is quite sufficed.  

Contact me if you have any more questions about related issues, or anything that you would like me to cover.  Cheers,

Written by: Michael Wang 03/16/2015

Michael Wang

Michael Wang

Sales Representative
CENTURY 21 Atria Realty Inc., Brokerage*
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