If completion is approaching and your financing will not come together, act now rather than at the deadline. The options available six months before completion are far wider than the options available six weeks before, and this is the single most consequential timing decision in a presale.
Why it happens is rarely carelessness. Appraisals come in below the contract price, so the lender funds less than expected. Rates or qualifying rules moved between signing and completion. Income or employment changed over a three-year build. A co-buyer's circumstances changed. None of these are unusual over a presale timeline.
The realistic paths: assign the contract to another buyer before completion, if the developer consents. Ask the developer for an extension — sometimes granted, never guaranteed, and better received early. Restructure financing, which can mean a co-borrower, a larger down payment from other sources, or a lender who specialises in new-construction completions. Or complete and sell immediately as a resale, which costs more in closing costs and GST but avoids breach.
What breach actually costs: failing to complete puts you in breach of the purchase contract. You can lose your deposit, and in some circumstances face further liability beyond it. It is the worst financial outcome of the four and it is usually avoidable with time.
Across 450+ presale families we have had 2 defaults in five years. Not because our clients are luckier — because completion planning starts a year out, not a month out. If you are staring at a completion date right now, that conversation is free and it should happen this week.
This is general information, not legal or tax advice. Assignment tax treatment in particular is unforgiving, and we will tell you to speak to a CPA before you accept an offer.
Failing to complete puts you in breach of your purchase contract. The developer can typically keep your deposit, and depending on the contract and circumstances you may face additional liability. Acting before the completion date almost always produces a better outcome than missing it.
Often yes, if the developer consents and the timing still allows it. Consent is usually discretionary and many developers stop approving assignments as completion approaches, so this option narrows the longer you wait.
Sometimes. It is entirely at the developer's discretion, it is more often considered when asked early and with a credible plan, and it should never be assumed as a fallback.
This is one of the most common completion problems in the current market. The lender funds against the appraised value, leaving a shortfall you must cover. Options include additional down payment, a co-borrower, a different lender, or assigning before completion.
Around twelve months out. That is when financing can still be restructured, an assignment is still realistic, and a developer extension request is best received.
Talk to a buyer-side presale specialist: (672) 258-1100. Free contract review and valuation — we don't work for the developer.