Pre-Construction Parking Spaces - What You Need To Know
Buying a parking space with a unit at a pre-construction condo today can cost over $120,000 in Toronto and Vancouver and $50,000 in Calgary. When you buy a pre-construction parking space it is specifically noted on your purchase agreement. Typically the builder allocates parking spaces and you do not get to select your space.
Since building parking is so expensive, developers typically build it at a loss. This is why in downtown areas, there will never be enough parking for all units in the building and parking is typically restricted to just the larger 2 and 3 bedroom units. If you want to buy parking for a 1 bed or studio, you are added to the waitlist if any parking spaces are left after all of the larger units have had the option to buy one.
The cost to buy the parking space is added onto the total purchase price and deposits and the mortgage at closing are calculated based on this total amount - you do not need this money in cash! (thank goodness)
Buying parking is not always required, so contact me for advice if you should buy parking for your unit.