Buying pre-construction means reserving a condo before the building is finished, sometimes before construction even starts. Buyers who come in at this stage pay less, choose first and get more time to pay.
Here's where each of those advantages comes from, using RISE, our condo tower in Tijuana, as an example.
You pay less for getting in early
Pre-construction units commonly sell for 10% to 30% less than the same unit once it's finished. At RISE, we estimate the same condo will cost 25% to 30% more on the final price list than on the first one. The difference doesn't depend on how much time passes, but on how many units are sold.
Here's how price lists work. A development launches with an initial price list. Each time a certain number of units sell, a new list opens with higher prices. Buyers on the first list pay the lowest price that building will ever have.
You choose the unit you want
When the first list opens, every unit is available. You can pick the floor, the view, the orientation and the floor plan that work best for you. When the building is nearly sold out, what's left is what others passed on.
This matters even more in a small building. RISE has only 20 condos, so the units with the best views and the best spots on each floor go in the first lists.
If you're buying to rent it out, this matters too. A condo with good light and a good view rents faster and for more.
You pay in installments during construction
A finished home is paid for almost entirely at closing: down payment plus mortgage, all at once. With pre-construction, payments are spread out over the construction period.
At RISE, you reserve your condo, put down as little as 10% and make monthly payments during construction; the balance is due at delivery, in cash or with a mortgage.
That time helps you in three ways: you can save for the down payment without rushing, line up your financing and set money aside for closing costs.
Everything is brand new
A new condo comes with plumbing, finishes and appliances that have never been used, so you spend almost nothing on repairs in the first few years. With a resale property, those repairs tend to show up right after you buy.
You also get brand-new shared spaces. At RISE, that includes a coworking area, a gym, grills and a rooftop lounge, plus a home office inside every condo.
What to keep in mind
The trade-off for paying less is waiting. You can't live in or rent out the condo until it's delivered; at RISE, delivery is estimated for 2028. If you're renting your current home, factor that time into your budget.
Who you buy from
All of these advantages only count if the building is finished as promised. That's why who you buy from matters as much as what you buy.
Before you put down a deposit, make sure the developer is trustworthy: that they have a solid team, the proper permits and that they answer your questions clearly. Ask for everything you're promised to be put in writing in your contract. A serious developer will share this information without hesitation and keep you updated on construction.
At Baja Developers, we publish construction updates for every development, so you can see how your condo is coming along without having to ask.
When to get in
The earlier you get into a development, the more options and the better price you'll find. Every price list that closes means one fewer unit to choose from and a higher price for the next buyer.
If you're interested in RISE, get in touch and we'll tell you which price list we're on and which condos are still available. You can also see the full project on the RISE page.