Pre-construction. Downpayments. Now why would anyone want to tie up 20% of half a million of their dollars (at zero interest) for a year or two on a property that might never get built, when it could be earning 5% in a CD? That’s the question buyers are posing, since that’s what most developers are looking for. Even if the property actually increases in value, if it’s only by a couple of thousand dollars, then you could still be upside down on the deal. And unless you’ve got a wad of spare cash lying around, tying up that much money is a pretty tall order for most of us.
That’s why Vincent Pellicane, developer of the Trevi luxury condos in Maitland, is sweetening the deal. Pellicane understands the current market well and is proving that he is able to see the situation from a buyer’s standpoint. He’s offering 10% annual interest – paid quarterly on all deposits. Very cool. I haven’t seen anything like that since… since… alright, I’ve never seen that before…
“Your average buyer sometimes finds it hard to put their cash into something they can’t see or touch,” he said. “By doing this, we’re helping our buyers to understand: a.) that we’re serious about this project and its going to get built, and b.) it’s a luxury property – and I’m in the business of looking after my clients – right from the get go.”
Construction on the first phase of the Trevi (96 luxury condos) will start this summer, with the first condos available for move-in by 2008. For more info, call 407-290-3408.