Behind the Gloss of Pre-Sales in Vancouver

Vancouver's real estate market is no stranger to complexity, but for many newcomers—particularly within the Persian-speaking community—the concept of pre-sales adds another layer of confusion. With high demand, limited clear information in native languages, and a flood of marketing messages, buyers often find themselves overwhelmed and under-informed.

Majid Mahichi – Local Journalism Initiative

Amid this uncertainty, experienced real estate advisor Mr. Sanaei offers a grounded perspective. He explains that while many view pre-sales as a straightforward investment, the reality is far more nuanced—especially in today’s shifting market.

The pre-sale system, which allows buyers to purchase condominiums before construction is complete, is a key component of Vancouver’s housing pipeline. It enables developers to secure financing and plan large-scale projects, contributing to the city's density goals and housing supply. But while this model supports future growth, it also carries risks—particularly for individual buyers.

One key issue is the disconnect between pre-sale pricing and the current resale market. With rising construction costs and inflationary pressure on materials and labor, many developers now set pre-sale prices significantly higher than completed units already on the market. This pricing gap puts buyers at risk—especially if market conditions cool before their unit is built.

Sanaei warns that emotional decisions and lack of market literacy are common among newcomers. The promise of owning a brand-new home, paired with strong marketing, often overshadows due diligence. “Only about ten percent of current pre-sale opportunities are actually sound investments,” he cautions. Without full awareness of price trends, mortgage limitations, or future market projections, buyers may be stuck with units that are difficult to sell or refinance—and in some cases, not worth what they paid.

These risks are not evenly distributed. Newcomers, younger families, and immigrant communities—many of whom already face linguistic and systemic barriers—are more likely to fall into these traps. The lack of culturally relevant information and one-on-one advisory services further deepens the vulnerability.

At a civic level, this raises questions about housing equity and the city’s responsibility in regulating marketing practices and ensuring transparency in development sales. Although B.C.'s Real Estate Development and Marketing Act (REDMA) governs some aspects of disclosure, the system still places much of the burden on buyers to "know before they sign." Advocacy groups have called for stronger consumer protections and multilingual outreach in fast-growing immigrant communities.

Beyond contracts and construction timelines, Sanaei highlights the deeply personal side of real estate. Trust is foundational. “You’re not just hiring someone for a transaction—you’re trusting them with one of your most important financial decisions,” he says. He urges buyers to approach choosing an advisor as they would a job interview—prioritizing transparency, experience, and a commitment to the client’s long-term interest.

As Vancouver continues to grow vertically, pre-sales will remain a feature of urban development. But without accessible education, civic support, and community-based resources, too many residents—especially those new to the system—will be left navigating the high-stakes market alone. For the promise of homeownership to be truly inclusive, the system itself must evolve with the people it serves.