Investing in preconstruction and resale properties is risky no matter where you go, but understanding how it works, getting the right information, knowing the red flags to look for, and doing your due diligence to make sure you make the right decision is key. 

Presale development contracts are different from resale contracts. In most development, presale constructions can take anywhere between a year and a half to two and a half years, depending on the scale and location of the project. Additionally, for resale, the contracts are pretty standard and similar, but for presale, every developer has their contract, which is different from the others.

Just as every preconstruction development takes a different timeline to complete, the payment model is also unique to every contract. However, the developers' payment is based on the milestones they make on the construction. This begins with a substantial downpayment at the signing of the contract, which can be anywhere from 20% to 35%, and the corresponding payments are paid based on the milestone they make on the construction.

In this episode, Taniel Chemsian, Senior Sales Associate at Timothy Real Estate Group, talks about preconstruction and resale contracts. Taniel also expounds on the different comparables to look at when purchasing a property to ensure you get a good deal at a good price.  

 

Snapshot of the Key Points from the Episode:

[02:17] Taniel shares what you need to know about presale and presale contracts before looking for a property.

[03:46] Acquiring property in restricted zones and why the title can only be held in trust by a bank.

[05:05] How preconstruction development works from the initial payment to the corresponding payments in installments to completion? The red flags to look out for when doing your due diligence to ensure that a preconstruction or resale property is legit.

[08:42] How can you protect yourself from unforeseeable disasters in a preconstruction investment? Can you do a recourse in case something happens and you are unable to continue and get your money back?

[10:20] The advantages of preconstruction projects and when you can get the best discount based on the consumer risk.

[11:33] Taniel's recommendations on the comparables to look out for when purchasing a property to ensure you are getting a good deal.

[12:24] The amenities and other structures that developers are adding to projects nowadays 

[20:10] At what point do you decide whether to go for a preconstruction or a resale?

[24:52] The predominant cities where resale condo homes are most popular.

 

About Taniel Chemsian - 

Taniel Chemsian is a Senior Sales Associate at Timothy Real Estate Group, representing some of the finest properties and condominium developments in Puerto Vallarta, Mexico. Taniel specializes in matching luxury clientele with the perfect second homes, vacation getaways, income properties, and retirement residences.

His strong market presence and track record for excellence did not go unnoticed by the producers of HGTV’s popular real estate series, House Hunters International. Taniel has become a regular on the series, featured on the show more than any other agent in North America.

Taniel is a long-standing member of AMPI (Mexican Association of Real Estate Professionals) – Puerto Vallarta Chapter and a registered International REALTOR® with NAR International. He is also a co-creator of Dream Retirement in Mexico, an online program that deep-dives all the things one must know, such as real estate, healthcare, visas, cost of living, etc., before retiring to Mexico.

Throughout the years, Taniel has developed an unparalleled knowledge of the local Puerto Vallarta market along with a strong philosophy of transparency, integrity, and professionalism.  

 

How to connect with Taniel Chemsian:

Website: hhttps://www.tanielchemsian.com/

Facebook: https://www.facebook.com/tanielchemsian

 

About Risa Morimoto 

Founder and CEO of Modern Aging, Risa is a certified integrative nutrition health coach. She is passionate about ensuring people live the second half of their life feeling strong, fulfilled, and empowered.

Though Risa is the host of the Modern Aging YouTube Channel, she has spent most of her career behind the camera as a producer and director of documentaries (Wings of Defeat, Broken Harmony: China’s Dissidents) and TV (HGTV – House Hunters International, Selling NY, Animal Planet, A&E). 

Through Modern Aging, she deep dives and shares her findings on alternative, global approaches to holistic health and wellness. 

 

How to Connect Risa Morimoto:

Website - https://thisismodernaging.com/

Instagram - https://www.instagram.com/thisismodernaging/

Youtube - https://www.youtube.com/c/ModernAging

Facebook - https://www.facebook.com/thisismodernaging/