We were recently invited on the Jill Bennett show to discuss the recent news that Coromandel Properties, a major housing developer in Vancouver, is seeking creditor protection for over $700 million.

There are a few things to note about this recent development. However, what is most important to understand about this situation, and even all pre-sale property purchases, is that the most important thing when it comes to pre-sale is the disclosure statements signed at the beginning. The disclosure statement essentially acts as a contract, which lay out the terms of the purchase, what is expected to be received by the end, and the time frame development will roughly take. Presale properties generally have not broke ground yet and are expected to be done in a few months to a few years. As well, it is often the case that a certain number of presales are to be sold before the project can even get approved to move forward. Fortunately for potential investors and homebuyers, Canadians within BC are very well protected when purchasing a pre-sale, and deposits put down are protected in trust by the government.

But even with this in place, it is clear that the news about Coromandel is evidence of the effects of the recent rate hikes and inflation, and that this shouldn’t be seen as a single isolated event. We should expect that the rate of inflation as of late affects everyone.

If you have 10 minutes to spare, you can listen to the whole interview HERE.

Angela Calla is an 18-year award-winning woman of influence which sets her apart from the rest. Alongside her team, Angela passionately assists mortgage holders in acquiring the best possible mortgage. Through her presence on “The Mortgage Show” and through her best-selling book “The Mortgage Code“, Angela educates prospective home buyers by providing vital information on mortgages. In light of this, her success awarded her with the 2020Business Leader of the Year Award.

Angela is a frequent go-to source for media and publishers across the country. For media interviews, speaking inquiries, or personal mortgage assistance, please contact Angela at hello@countoncalla.ca or at 604-802-3983.

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