Choosing the right developer: Is there such thing as good and bad developers?

Do you recall the builder we talked about in the previous article? Three of their projects in downtown Toronto are under receivership.

Similar cases happened before in the GTA real estate market. Developers like so might fail in delivery because of the following:

  • Construction duration will extend out of planning and causing costs to increase dramatically. When the cost goes beyond the developers’ affordability, the project will fail.
  • Even if the cost is within developers’ affordability, they might lower construction quality to receive more profit.

How do you select a trust worthy and reliable developer?

  1. Reputation

Research developers’ reputation. Check with experienced real estate professionals.

2. History

Check if developers have projects already delivered, projects under construction, and projects are on sale.

3. Cooperation

If a small developer could cooperate with a reputable developer, then the project is more reliable.

Our recommended website to do your due diligence on developers: www.hcraontario.ca