Some of my clients who purchased pre‑construction condos during the peak market are now approaching their final closing dates. Given today’s market conditions, many are unsure whether they should close, assign, sell after closing, or rent and hold.
To help them make an informed decision, I recommend evaluating the following financial factors before choosing a path forward.
Key Costs to Calculate:
Before deciding whether to close or exit, calculate your full carrying costs:
1. Monthly mortgage payment based on current interest rates.
2. Condo maintenance fees as provided by the builder.
3. Annual property taxes.
4. Interest on HELOC or borrowed funds, if applicable.
5. Current market rent for comparable units in the same building or area.
6. Routine maintenance and repair costs, even for new units.
7. Insurance costs (condo insurance + landlord insurance if renting).
8. Closing costs, including land transfer tax, legal fees, and builder adjustments.
Determine Your Monthly/Annual Shortfall:
Compare your total monthly carrying costs to the expected rental income (if renting) or your available cash flow (if holding).
This will show you the monthly or yearly amount you may need to contribute out‑of‑pocket.
Five‑Year Carrying Cost Projection:
Since many analysts expect the market to recover gradually, calculate your total carrying cost over a five‑year period.
This will help you understand whether holding the property until values return to your original purchase price is financially feasible.
Why This Matters:
A clear financial picture allows you to compare all four options—closing, assigning, selling after closing, or renting—based on real numbers rather than uncertainty or emotion. This approach has helped many clients make confident, well‑informed decisions.
LATIF NIZAMANI Realtor 
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