A presale home refers to a type of real estate purchase where you buy a house or a condo unit before it is built or completed. It's like buying a home that doesn't exist yet but reserving it in advance.
When a new housing development or condominium project is planned, the builder or developer often sells the homes or units before construction begins. They do this to secure funding for the project and gauge buyer interest. During the presale period, potential buyers have the opportunity to purchase a home based on floor plans, renderings, building model, a display home and other details provided by the builder.
Buyers who participate in a presale have the advantage of getting in early and potentially locking in a lower price compared to the market value of the completed homes. Presales may also have special incentives to attract buyers.
Once enough homes are sold, construction begins on the development. The builder will typically have a timeline for completing the project, of a couple to a few years. During this time, buyers wait for the construction to finish and their new home to be ready for occupancy.
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