What to Review Before Buying a Pre-Sale Condo, Townhome, or New Home

New construction in Victoria BC — especially in Langford, Colwood, and downtown — continues to attract buyers looking for modern layouts, energy efficiency, and lower maintenance.

But pre-sale and newly built homes involve different risks than resale properties.

Deposit structure. GST. Assignment clauses. Disclosure amendments. Completion timelines.

This checklist outlines what buyers in Greater Victoria should review before committing to a new construction condo, townhome, or detached home.

Phase 1: Before You Write an Offer

▢ Review the Deposit Structure Carefully

In Victoria-area pre-sales, deposits are often structured as:

• 5% at contract signing

• Additional 5%–10% at defined milestones

Confirm:

• Total deposit required

• Deposit schedule

• Where funds are held (lawyer trust)

• Refund conditions if project delays or fails

A “low deposit” headline does not equal low risk.

▢ Read the Disclosure Statement (REDMA Requirement)

Under BC’s Real Estate Development Marketing Act (REDMA), developers must provide a Disclosure Statement.

In Greater Victoria projects, this document typically outlines:

• Estimated completion window (often 12–36 months)

• Developer rights to modify floorplans

• Parking and storage allocation

• Strata budget assumptions

• Rental and pet restrictions

• Phasing (important in Langford developments)

This document defines your contractual exposure.

Most buyers skim it. That’s a mistake.

▢ Confirm GST Treatment

In BC, new construction is generally subject to GST.

Clarify:

• Is the price plus GST or GST included?

• Do you qualify for the GST New Housing Rebate?

• Are you purchasing as an investor or owner-occupier?

Incorrect assumptions here change your closing numbers significantly.

▢ Understand Assignment Rights

Assignment clauses are critical in pre-sale purchases.

Determine:

• Is assignment permitted?

• Is developer consent required?

• Is there a fee (common in Victoria projects)?

• Are marketing restrictions imposed?

In slower markets, assignment flexibility protects downside risk.

In stronger markets, it creates upside opportunity.

Phase 2: During Construction

▢ Monitor Disclosure Amendments

Developers may issue amendments that:

• Adjust completion timelines

• Modify square footage

• Change amenities or common areas

Certain amendments trigger rescission rights — but only within a defined window (often 7 days).

Missing that window eliminates the option to exit.

▢ Maintain Mortgage Readiness

Completion in Victoria-area pre-sales commonly ranges from 18–36 months.

Pre-approvals expire.

To protect your position:

• Reconfirm qualification annually

• Avoid major debt changes

• Monitor rate environment

• Keep employment stable

Financing is assessed at completion — not at contract signing.

▢ Review the Strata Budget Closely

Early strata budgets are projections.

Evaluate:

• Contingency Reserve Fund contributions

• Insurance assumptions (critical in BC)

• Elevator and amenity maintenance

• Amenity-heavy buildings in downtown Victoria

Underfunded budgets often result in early fee increases.

Phase 3: Prior to Completion

▢ Conduct a Thorough Deficiency Walkthrough

Bring:

• Blue painter’s tape

• A detailed checklist

• Photos

Inspect:

• Flooring alignment

• Cabinet installation

• Paint finishing

• Appliance performance

• Plumbing fixtures

• Window seals

Document everything in writing.

Minor deficiencies compound when unaddressed.

▢ Understand 2-5-10 Warranty Coverage

In British Columbia, new homes are protected under:

• 2 years — labour and materials

• 5 years — building envelope

• 10 years — structural

Know reporting deadlines.

Warranty rights are time-sensitive.

▢ Budget for Completion Costs

Beyond purchase price, account for:

• GST (if applicable)

• Property Transfer Tax (unless exempt)

• Legal fees

• Adjustments

• Strata move-in fees

• Utility activation

New construction does not eliminate closing costs.

Phase 4: After Possession

▢ Submit Warranty Items Early

Track:

• Drywall movement

• Door alignment

• Appliance issues

• Moisture or envelope concerns

Warranty timelines are strict.

Calendar reminders.

▢ Attend the First AGM

Developer-controlled strata councils eventually transition to owner control.

Pay attention to:

• Insurance deductibles

• Reserve fund strategy

• Phased construction impact

• Parking and LCP clarification

Early governance decisions shape long-term building stability.

Common Mistakes Victoria Buyers Make

• Prioritizing incentives over contract language

• Assuming GST is included

• Ignoring assignment restrictions

• Failing to review disclosure amendments

• Letting financing lapse

• Underestimating early strata fee adjustments

New construction reduces maintenance risk.

It does not remove contractual risk.

Final Consideration

Pre-sale and newly built homes in Victoria BC require disciplined review.

Deposit structure. Disclosure language. Assignment flexibility. Completion exposure.

These elements determine whether a purchase is strategic.

If you’re considering new construction in Langford, Colwood, Downtown Victoria, or surrounding areas and want a structured contract review before committing, reach out.

Positioning begins before the first deposit is paid.