How to buy. What you need to know.
When buying a home at Radius, two pieces of government issued ID are required along with a cheque for the initial deposit of $2,500. Below are additional requirements for owing at Radius:
- The purchaser must read, review, and /or complete the following documents:
- Offer to Sell and Real Estate Purchase Contract Over $500k
- Offer to Sell and Real Estate Purchase Contract Under $500k
- TD Mortgage Qualification Guidelines
- Homeward Bond Application
- Government mandated identification forms for tracking money laundering – FINTRAC
- The purchaser will need to provide a cheque for $2,500 made out to “McLeod Law LLP- in Trust”. The $2500 will form part of 5% deposit that is required for purchasing your new home at Radius. Homes with a purchase price above $500,000 require a 7.5% deposit – further details below.
- At the end of 10-days, and/or all conditions have been removed from the Purchase Agreement, the balance of the 5% deposit is due. The amount due is 5% of the Purchase price minus the $2500 previously provided. Funds will need to be provided by way of certified cheque or bank draft and made out to “McLeod Law LLP- in Trust” with reference to the development and suite you have purchased i.e. – Radius Suite #201.There will be a 10-day rescission period commencing from when the Purchase Agreement is written. If the purchaser exercises this option to rescind during the 10-day period, we will return the $2,500 and there will be no further obligations.
- Within 15 days of completing the mortgage and bond applications the purchaser will receive confirmation from TD Canada Trust and Blanket Home Warranty (The Bond) regarding a commitment for mortgage financing and deposit bond. If you are not eligible for a mortgage or bond, we will require an additional deposit equivalent to 15% of the purchase price (additional 7.5% deposit for homes over $500,000). Otherwise, no further cash deposits are required until closing. See bond FAQ’s below.
- As soon as we hit our pre-sales target, construction gets underway and we will be sending progress reports.
- In the unlikely event that we do not hit our pre-sales target and/or decide not to move forward, all contracts will be cancelled and all purchasers will have their deposits returned.
- As we approach completion of construction, you will be contacted by Bucci staff to arrange:
– Pre-possession deficiency walk-through
– Possession walk-through and home orientation
– Move-in and elevator bookings
Frequently Asked Questions
What is the Deposit or Down-payment at Radius?
5% cash deposit for homes under $500,000 or 10% cash deposit for homes priced above $500,000. The total deposit or down-payment required on the Purchase Agreement is 20%, with the difference being made up by way of a Bond.
What are Bonds?
Bonds are provided to our purchasers by Blanket Home Warranty and are an excellent alternative to the large cash deposits normally required in new home construction. Bonds are a guarantee by Blanket Home Warranty, to the Developer, that the deposit will be paid in the event that a purchaser defaults on the contract of purchase and sale.
What does the Bond cost?
There is no cost to the Purchaser.
Are Bonds mandatory?
No, but the alternative is a 20% cash deposit rather than a more favorable blend of 5% cash and 15% Bond guarantee (10% cash 10% Bond for homes over $500,000).
Who else used Bonds for deposits?
Bonds have become increasingly popular over the last few years as it enables purchasers to purchase with 5% deposit while the home is under construction. Purchasers can get into the market earlier which also allows them more time to save for their new home.
Is a commitment letter from TD Canada Trust mandatory?
Why is a commitment letter from TD Canada Trust mandatory?
TD is offering an excellent package by holding today’s interest rates until occupancy. This gives you the security of knowing the maximum your mortgage payments will be and that the home you have chosen fits within your budget.
Can I use my own mortgage broker?
Unfortunately, we insist that you submit an application with TD as we are comfortable with their underwriting criteria. While you are not obligated to take TD’s mortgage at Closing, we require a copy of TD’s approval as part of our financial requirement.
What happens if the project doesn’t begin?
In the unlikely event that we do not hit our pre-sales target and/or decide not to move forward, all contracts will be cancelled and all purchasers will have their deposits returned.