Why should I buy pre-construction?
Purchasing pre-construction has its benefits, primarily to ensure unit availability, and, by buying early, you are able to take advantage of pre-construction pricing (though there are no guarantees that future prices will escalate or will not decrease) and the opportunity to select finishes as construction progresses.
What is a Reservation Agreement? How is it different from a Purchase Agreement?
Our Reservation Agreement is a non-binding agreement that reserves a particular unit for a purchaser at a certain price; whenever you sign the Reservation Agreement, you pay a $20,000.00 refundable deposit, which an escrow agent holds in an interest-bearing escrow account. The deposit is merely to evidence your good faith intention to purchase. However, the Reservation Agreement may be canceled by either you or us, and, if either of us cancels, your reservation deposit, plus any accrued interest, is completely refundable at any time prior to signing a binding Purchase Contract.
When will I sign an official binding Purchase Contract?
Once we have approximately 100 Reservation Agreements or when we are otherwise comfortable proceeding, we expect to send reservation holders a Purchase Contract and a full set of condominium documents for their review as required by Alabama law. At the time of contract, 35% of the purchase price will be required in the form of cash to serve as earnest money. Right up until you sign a Purchase Agreement, you may terminate the Reservation Agreement and receive a refund of your reservation deposit. Also, the Purchase Contract will contain a seven day right of rescission as required by Alabama law.
How is Transcendence being financed?
While the exact details as to the final capital structure have yet to be determined, Transcendence will be financed through a combination of developer equity, earnest money deposits from buyers, and/or funds from institutional lenders.
Can earnest money deposits be used by the Developer towards construction?
Yes, under certain circumstances as provided in the Alabama Condominium Act, some of the deposits from purchasers who meet certain wealth or income minimum thresholds may be used to pay Hard Costs, and we expect to establish a program providing for our usage of these deposits consistent with the Act. Any prospective buyer who wants to see the details for this program should request a copy at our CONTACT page.
How many Purchase Contracts will need to be executed before construction can commence?
There’s really no set minimum, but, presently, we plan to have 120 Purchase Contracts (not Reservation Agreements) before we start construction.
When is Transcendence expected to break ground?
There is currently no timeline for construction to begin.
How long will it take to build Transcendence?
24-28 months is anticipated.
Who will be the contractor for Transcendence?
The contractor has yet to be determined, but it will be a national or regional contractor with a quality resumé of previous condominium construction and with the financial strength to bond a project such as Transcendence.
Who is the Architect?
Local architect Forrest Daniell of Forrest Daniell & Associates, P.C. is the creator of Transcendence. Please view the TEAM page to learn more about Forrest and his work.
How are finishes chosen?
Buyers will have the ability to pick their finishes from several packages prior to signing a Purchase Contract.
Are there any rent restrictions associated with Transcendence?
There will be no rent restrictions, although most property management companies will suggest a three-night (3) minimum to their clients.
Can I have pets?
Owners are allowed to have pets, but there will be restrictions as to the type and number that will be allowed. The exact guidelines have yet to be determined.
Who will be the on-site management company?
As shown on the preliminary plans, space has been designed to have both an on-site property management company and real estate company operating out of Transcendence. The management company has yet to be selected.
Do owners have to use a specific management company to market their units for rent?
Owners are free to use any management company or real estate company to market their units for rent or for sale.
What will association dues be?
Association dues have yet to be determined, but will be provided along with a complete budget prior to anyone being asked to sign a Purchase Contract.
How much are units projected to gross on an annual basis if placed in a full-time rental program?
We encourage you to contact rental agents for this information.
Whom should I contact for financing?
We don’t provide or arrange purchaser financing, but eventually we will work with a mortgage lender to establish a financing program to be available for our qualified buyers. Of course, you can always pay cash or otherwise arrange your own financing.
How and when are real estate agents compensated for selling units at Transcendence?
Agents who are specifically identified in the Purchase Contracts signed by developer will be paid a commission of 3% of the Purchase Price, one-third (1/3) of which commission (meaning 1% of the Purchase Price) shall be paid if, as, and when any buyer’s right of rescission has expired and the remainder of which shall be payable within ten (10) days after the Condominium’s pilings have obtained formal municipal building approval. In other words, Agents do not have to wait for a certificate of occupancy to realize their 3% commission.
Does a buyer get a better deal if they don’t have a real estate agent?
The purchase price will not be impacted whether a real estate agent is or isn’t involved. We encourage all buyers to find a real estate professional to assist them in getting all questions addressed and selecting their unit.
What if I want to sell my pre-sale condo after closing?
You are more than welcome to sell your condo at any point after closing, but contracts may not be assigned during construction or otherwise prior to the initial closing with the Developer.
How do I determine the economic benefits of buying a unit?
Buyers of our units should purchase for residential purposes and not in anticipation of potential economic benefits. In fact, we don’t offer or sell units with an emphasis on potential economic benefits, and we particularly decline to market units on the expectation that buyers will achieve some profit because of the efforts of managers, brokers, or others.
I’ve reviewed the site plans, floor plans, amenity plans, etc., but can they change?
Yes, a number of conditions or circumstances could cause us to change the plans, but all buyers will be able to review final conceptual plans prior to signing Purchase Contracts.