In a large, growing city like Grand Rapids, Michigan, you have almost as many options as you would if you were going to buy a Toronto condo. Numerous companies are trying to capitalize on the popularity of downtown living by building at an unprecedented rate. Unfortunately for them (but fortunately for you), the economic slowdown has turned the tables on developers and now it's a buyer's market. They find themselves having to compete with one another for your business. Instead of price reductions, they often turn to incentives or perks to attract buyers. Here are some of the more common ones you may run into.
Cash Back
If a developer is having trouble generating interest in a particular unit of King West Condos, he or she might use a cash back incentive instead of dropping the asking price. You usually get your cash back at closing time, which encourages you to actually go through with the sale. Keep in mind that the cash back bonus will probably end up going toward the closing costs, not into your pocket. Also beware of developers raising the price in order to offer you a cash back bonus.
Mortgage Deal
Condo and real estate developers often partner with banks or lenders to offer all the potential tenants of their Merton Street condos development a special low mortgage rate that you can only get through their program. This is beneficial for the bank because they get guaranteed business and also to the developer because it attracts buyers. Beware of offered rates that are lower only temporarily (such as for the first six months) as the post-introductory rate hike might be so high that you'd be better off with a different mortgage with a higher initial rate.
Free Parking
This is a big deal for people buying a Toronto loft condo or a unit in Grand Rapids' busiest neighborhoods, since parking can cost in the vicinity of several thousand dollars a month if you have to pay for it. When your developer offers you free parking, make sure you find out where the space is. You might assume it's in the underground garage but if there's not enough room your spot might be one they hired from another location several blocks away.
Free Upgrades
Older Mississauga condos for sale where ownership has reverted back to the developer usually aren't as enticing to buyers as brand new condos. That's why many developers offer free upgrades on older units that might include replacing the floors or renovating the kitchen. For brand new condos, sometimes developers will throw in free appliances like fridges, stoves, microwaves, or coffee makers to sweeten the deal. Don't get blinded by free stuff, though. Remember - it's only a deal if it's on something that you want or need.
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