Can you change your mind after buying a new condo?
With the real estate boom in Quebec, many of you are buying new condos.
The sale of a new condo is a big investment that can change a life. So it’s good to know that there are rules that allow you to retreat.
Did you know ? The Civil Code of Québec provides for a series of obligations that they must respect. The most important is the right to opt out, that is to say to withdraw your promise within 10 days.
The following rules apply if you buy a residential complex:
First, The condo must be new and the seller must be the builder himself.The Code provides that this sale must be preceded by a preliminary contract by which you promise to buy the building. If there is no preliminary contract, the Code provides that you can request cancellation of the sale.
The proponent or builder must indicate whether the selling price may change upwards, and in such a case, the terms of the revision.
The clause of withdrawal
The contract must contain a stipulation that provides that you can, within 10 days of signing the contract to change your mind and withdraw your offer.
The preliminary contract may provide for an indemnity in case of exercise of the clause of withdrawal, but this one can not exceed 0,5% of the sale price.
Only if you do not comply with your obligations under the contract may the down payments be retained by the builder or developer.
♦ Do not hesitate to ask the builder or promoter questions and negotiate the contract. Be sure to always write down the verbal conversations or agreements you have had with him, this will be useful in case of misunderstanding or even litigation.