Presale Pro Tip Series: Reading the Fine Print
Why Presale Contracts Deserve More Attention
Buying a presale means signing a Contract of Purchase and Sale (CPS) — a legally binding agreement between you and the developer that outlines the terms of your future home.
Unlike resale contracts, presale contracts are written by the developer’s lawyers, not a standard form. And once signed, the terms are tough to negotiate or undo.
Reading (and understanding) the fine print is essential.
Key Items to Review in Every Presale Contract
- Purchase Price & Deposit Schedule
Confirm the total price, what’s included (GST?), and when deposits are due. - Unit Specifications & Floorplan
These are often attached as exhibits, and confirm the size of your unit, the layout, as well as anticipated strata fees and unit entitlements. - Estimated Completion & Possession Dates
Look for terms like “outside occupancy date” — this is the legal deadline, and it may be much later than advertised. - Developer’s Right to Make Changes
Many contracts allow the developer to change layouts, materials, or even square footage without buyer approval. Understand how much flexibility they have. - Assignment Rights
Can you assign (sell) the contract before completion? If so, under what conditions and fees? - Amendment Clauses & Disclosure Terms
Developers can issue updates after you’ve signed. You have a legal right to receive and review these. - Warranties & Deficiency Walkthrough
Confirm the type of home warranty coverage included and the process for noting deficiencies.
Red Flags to Watch For
- No firm completion window
Some contracts offer no guaranteed move-in timeline. - Excessive change clauses
Language allowing the developer to substitute major features or reduce square footage can be problematic. - High assignment fees or restrictions
Some contracts prohibit assignment entirely, or charge steep fees. - Missing documentation
Make sure the disclosure statement and all schedules are attached before signing.
Local Insight: North Shore Presale Contracts
On the North Shore, where projects are often boutique or unique in character, no two contracts are exactly the same. Developers may build just 20–40 units, and contract flexibility can vary widely.
Even between two projects from the same builder, the assignment rights, completion windows, and change clauses might differ.
Buyers without strong contract review support may overlook critical differences — especially if they’ve viewed multiple developments and are rushing to secure a unit.
Pro Tip: Don’t Sign Without a Second Set of Eyes
Presale contracts are built to protect the developer. It’s your job to protect yourself — and your agent (and lawyer, if needed) is there to help.
An experienced realtor can flag common pitfalls, explain complex clauses, and help you compare contracts between projects. This isn’t just paperwork — it’s your future home. Read it like it matters.
Thinking of Buying a Presale on the North Shore?
Let’s make sure you’re getting the right unit, in the right project, at the right time — with no surprises. Reach out for expert guidance on North Vancouver and West Vancouver presales, and let’s walk through your options together.
