Looking for ways to secure a better deal on a newly-built home? If this sounds familiar, chances are, the thought of purchasing a pre-construction condo has already crossed your mind. From owning property in an up-and-coming area to getting in on the ground floor of a new development, these types of condos present countless opportunities that might be worth the leap of faith. There are, however, a few things to keep in mind before making this type of investment.

Keep reading for some considerations to weigh when thinking about buying a pre-construction condo today!

#1 The Neighborhood Outlook: Pre-construction condos offer a great opportunity to invest in up-and-coming neighborhoods. Since developers are always looking for new areas to build in, they’re usually the first ones to jump on hot spots. This means that you can get a jump start on a potentially trendy and desirable new enclave and enjoy appreciation as it becomes even more popular. This is an especially attractive proposition in real estate markets that are already hot and where prices are high, much like the DMV.

#2 The Developer Reputation: When considering a pre-construction condo, it’s important to research the developer attached — from their reputation in the industry to their track record of success. If the developer has a long list of successful projects to their name, for example, then you can be infinitely more confident that they’ll deliver on their promises. This is also something that your real estate agent can advise you on.

➤ Looking for more advice on condos in DC? Read these posts:

• Condos Vs. Coop: What’s the Difference
• Understanding Resale Potential When Buying a Condo
• Stacked Townhouse Vs. Condo Vs. Apartment: What’s the Difference

#3 The Construction Quality: Of course, it’s just as critical to research the quality of construction, too. Here, you’ll want to make sure that the developer is using high-quality materials and that the construction is up to code. There have been some cases of low-quality construction in pre-construction condos in recent years, so getting a high-quality product should be top of mind.

#4 The Amenities: Another important consideration before going the pre-construction route? The amenities. Pre-construction condos can come with a host of perks, such as concierge services, private parking, outdoor spaces, gyms, etc. These amenities add value to the condo and make it that much more desirable to live in.

#5 The Waiting Game: Just like Rome wasn’t built in a day, it can take time for a pre-construction condo to be built, which means patience is key. This is also not a short-term investment, so you need to be prepared to wait for the full return of the condo to be realized.

In fact, it’s not uncommon for a pre-construction project to get delayed beyond the initial date they give. Developers often set their closing date and push the date back for construction delays, final inspections, utilities, etc. If there are any delays outside of their control, they can push the delivery date back without consequence. So, it’s good to plan for temporary housing if need be, or a month-to-month lease, and a longer rate locks if you are financing the home.

The bottom line? Buying pre-construction is a tricky, drawn-out process — and having a trusted advisor on your side is critical to ensure you’re making the right investment for your future.

Ready to find the pre-construction home of your dreams? We’re here to help. Give us a call at 202.280.2060 or email jsmira@jennsmira.com today.