SAAD MURTAZA

Congratulations on taking the next step in your real estate journey.

For the past decade or so, growth has been difficult to miss in many of the Greater Toronto Area's districts. While some may think Toronto may be in a condo bubble, the fundamentals supporting such growth have been rather present for decades. Those fundamentals consist of employment, neighbourhood demographic, immigration, interest rates, and government planning and subsidies.

It may not be quite like New York (yet), or London and Hong Kong, but it is surely on the path to becoming one of the most mature and world-class cities in all of North America.

Now, whether you are buying or selling, our first priority remains the same: it's to provide our clients with enough knowledge and resources, backed by statistics, facts, and historical data, in order to make well-versed decisions in the world of real estate, with ease. Take advantage of our processes, knowledge, and resources, by Downloading the Pre-Construction Guide, by Saad Murtaza.

Furthermore, as we walk the path of real estate into the realm of pre-construction, it is vital to acknowledge a few key statistics:

• There are over 50,000 agents in the GTA

• 80% of agents do 1 or fewer deals per year

• Over 99% of agents have no access to newly launched projects at the lowest prices, coupled with the most incentives

As you dive deeper into pre-construction, it is important to understand what makes a Platinum Agent, such as myself, so unique and beneficial. As a project begins to launch, it is typically divided into multiple stages, with a few being:

• Platinum Agent Launch (lowest price, most incentives, most inventory)

• VIP Agent Launch (higher price, less incentives, less inventory)

• General Agent Launch (higher price, less incentives, less inventory)

• Public Launch (higher price, less incentives, scarce inventory)

In order to completely grasp the stages listed above, we will use an example of a builder XYZ listing a 1 bedroom, 550 square foot unit, with parking and a locker available at each stage.

Platinum Agent:

Price: $550,000.00

Parking: $50,000.00

Locker: $5,000.00

Average rent/month: $2,200.00

Average occupancy period: 6 months

Incentives include:

• Extended deposit structure

• Right to rent during occupancy

• Larger inventory selection

• Discount on the unit price

• Discount on the parking price

• Discount on the locker price

VIP Agent:

Price: $565,000.00

Parking: $55,000.00

Locker: $7,500.00

Average rent/month: $2,200.00

Average occupancy period: 6 months

Incentives include:

• Standard deposit structure

• No right to rent during occupancy

• 50% inventory selection

• Discount, however less, on the unit price

• Discount, however less, on the parking price

• Discount, however less, on the locker price

Cost difference compared to platinum level:

• $2,200.00 x 6 = $13,200.00 (loss of rental income)

• Unit price difference = $15,000.00

• Parking price difference = $5,000.00

• Locker price difference = $2,500.00

• 35,700.00/550,000.00 = 6.5% Savings Provided Via Platinum Agent

General Agent:

Price: $575,000.00

Parking: $55,000.00

Locker: $7,500.00

Average rent/month: $2,200.00

Average occupancy period: 6 months

Incentives include:

• Standard deposit structure

• No right to rent during occupancy

• 30% inventory selection

• Discount, however less, on the unit price

• Discount, however less, on the parking price

• Discount, however less, on the locker price

Cost difference compared to platinum level:

• $2,200.00 x 6 = $13,200.00 (loss of rental income)

• Unit price difference = $25,000.00

• Parking price difference = $5,000.00

• Locker price difference = $2,500.00

• 45,700.00/550,000.00 = 8.3% Savings Provided Via Platinum Agent

This may be complex information to some, and for others, it just may be difficult to digest at once. Nonetheless, if you have any questions, comments, or concerns, or if you'd simply like to chat, you can always call, text, or email me directly, to schedule a private Real Estate Consultation with myself at any time of your choosing.