The Hidden Costs of Buying New in Jensen Lakes & Erin Ridge North (2025)
The showhome price is not the price. Here's what the builder's marketing doesn't tell you.
The Showhome Price vs. Reality
| Line Item | Showhome Price | Actual Cost | Notes |
|---|---|---|---|
| Base Price | $629,900 | $629,900 | Includes standard finishes only |
| Lot Premium | — | +$15,000-$50,000 | Corner, pie, walkout, ravine, quiet street |
| Design Centre Upgrades | — | +$40,000-$120,000 | Flooring, cabinets, counters, backsplash, hardware, lighting, plumbing fixtures |
| Structural Changes | — | +$10,000-$60,000 | Extended garage, bonus room, dropped ceiling, window changes |
| GST (5%) | — | +$34,000-$42,000 | On final price (incl. upgrades). Rebate max $6,300 (apply post-close). |
| Landscaping | — | +$25,000-$50,000 | Sod, fence, deck/patio, trees, irrigation. Builder = rough grade only. |
| Window Coverings | — | +$5,000-$15,000 | Blinds, shutters, drapes. West-facing = critical. |
| Appliance Upgrade | — | +$5,000-$20,000 | Builder package = basic. Most upgrade. |
| Legal Fees | — | +$2,500-$3,500 | New build = more complex (builder docs, warranty, GST). |
| Moving/Temp Housing | — | +$5,000-$15,000 | Possession delays = 30-90 days common. |
| TOTAL ALL-IN | $629,900 | $771,400-$1,010,400 | +22% to +60% over showhome price |
The GST Trap
5% GST on the final purchase price (including upgrades).
| Final Price | GST | Federal Rebate (Max) | Provincial Rebate (Max) | Net GST Cost |
|---|---|---|---|---|
| $750,000 | $37,500 | $6,300 | $0 (AB no rebate) | $31,200 |
| $850,000 | $42,500 | $6,300 | $0 | $36,200 |
| $950,000 | $47,500 | $0 (phase-out >$450K) | $0 | $47,500 |
Critical: You pay GST at closing. Rebate applies after (6-12 weeks). You front the cash. Budget for full GST.
The Landscaping Reality
Builder provides: rough grade (clay), maybe topsoil. That's it.
| Item | Typical Cost | Timing |
|---|---|---|
| Sod (2,500 sq ft) | $3,500-$5,000 | Spring/fall only |
| Fence (150 lin ft, 6 ft) | $8,000-$12,000 | Anytime (frozen ground = surcharge) |
| Deck (12x16, composite) | $15,000-$25,000 | Spring booking = 8-12 week wait |
| Patio (20x20, pavers) | $12,000-$18,000 | Spring booking = 6-8 week wait |
| Trees (3-4, 2" caliper) | $2,000-$4,000 | Spring/fall |
| Irrigation System | $4,000-$7,000 | Before sod |
| Grading Correction | $2,000-$8,000 | Often needed (builder grade settles) |
| TOTAL | $46,500-$79,000 | 6-18 months post-possession |
Pro tip: Get 3 quotes before possession. Book contractors now for spring. The best are booked 6 months out.
The Window Covering Crisis
West-facing rear yards in Jensen Lakes/Erin Ridge North = brutal summer heat.
| Solution | Cost (Main Floor) | Timeline |
|---|---|---|
| Custom blinds (cellular, motorized) | $8,000-$15,000 | 4-6 weeks |
| Shutters (polywood, full height) | $12,000-$20,000 | 6-8 weeks |
| Exterior solar screens | $3,000-$5,000 | 2-3 weeks |
| Builder "package" (basic vinyl) | $2,500-$4,000 | At possession |
Without them: 2-4°C hotter inside, AC runs 40% more, furniture fades. Budget $8K-$15K. Do it before first summer.
The Possession Delay Reality
| Builder | Typical Delay | Longest Seen (2023-24) | Cause |
|---|---|---|---|
| Coventry | 30-60 days | 120 days | Municipal inspections, grading |
| Jayman | 30-45 days | 90 days | Supply chain (windows, appliances) |
| Stepper | 45-90 days | 150 days | Custom changes, labour |
| Homes by Avi | 15-30 days | 60 days | Standardized product |
| Cardel | 30-60 days | 100 days | Municipal, landscaping bonds |
Your lease ends June 30. Builder says "June 15 possession." Reality: August 15.
- 2 months hotel/Airbnb: $6,000-$10,000
- Storage: $300-$500/mo
- Pet boarding: $50/day
- Buffer: 90 days post-target. Budget for it.
The Warranty Reality (What's Actually Covered)
| Warranty | Duration | Covers | Doesn't Cover |
|---|---|---|---|
| 1-Year Workmanship | 1 yr | Defects in materials/labour | Normal wear, owner damage, settling cracks <3mm |
| 2-Year Systems | 2 yr | Electrical, plumbing, HVAC delivery | Appliances (manufacturer warranty), cosmetic |
| 5-Year Envelope | 5 yr | Water penetration, roof, walls, windows | Condensation, maintenance neglect, landscaping damage |
| 10-Year Structural | 10 yr | Load-bearing: foundation, floors, roof structure | Non-structural cracks, cosmetic, finishing |
Key exclusions: Grading/settling (first 2 years), landscaping, fences, decks, driveways, cosmetic items, appliances, owner modifications.
PDI (Pre-Delivery Inspection) is your ONE shot. Bring your own inspector. Document everything. Photos, video, written. Missing items = your problem after possession.
The "Included" Upgrades That Aren't
| Marketing Says | Reality |
|---|---|
| "Hardwood included!" | 3/8" engineered, 3" plank, 2 colors. Upgrade to 3/4" solid, 5" plank, wide color = $8K-$15K |
| "Quartz counters included!" | Level 1 (3 colors), 2cm, standard edge. Level 3, 3cm, waterfall edge = $6K-$12K |
| "Appliance package included!" | Basic Whirlpool/Frigidaire. KitchenAid/Bosch/GE Profile = $8K-$20K |
| "Smart home included!" | Thermostat + doorbell. Full package (lighting, locks, garage, sensors) = $3K-$8K |
| "Landscaping allowance!" | $2,000-$5,000 credit. Actual cost = $45K+. Marketing math. |
The Total Cost of Ownership (Year 1)
| Expense | Resale (Renovated) | New Build (All-In) |
|---|---|---|
| Mortgage (5% down, 4.5%) | $3,100/mo | $3,600/mo (higher price) |
| Property Tax | $350/mo | $400/mo (higher assessment) |
| Insurance | $150/mo | $120/mo (new = lower) |
| Condo/HOA Fees | $0-$450/mo | $0-$450/mo |
| Immediate Repairs/Reno | $0 (done) | $0 (warranty) |
| Landscaping/Window Coverings | $0 (done) | $5,000-$10,000/mo (cash flow) |
| GST Cash Flow Hit | $0 | $35,000-$45,000 (at close) |
| Possession Delay Buffer | $0 | $6,000-$10,000 |
Year 1 cash outlay (beyond mortgage): Resale ~$0. New build ~$50K-$70K.
When New Build Makes Sense (Despite the Costs)
- You need a warranty (risk aversion > cost)
- You have specific needs (accessibility, multigen, specific layout) — resale can't deliver
- You have the cash buffer ($70K+ liquid beyond down payment)
- You can wait (flexible possession, temporary housing sorted)
- You want modern systems (HRV, 200A, high insulation, smart rough-in) — retrofitting costs $50K+
My Advice
If you're stretching to afford the showhome price — buy resale. The hidden costs will break you.
If you have $100K+ liquid beyond down payment, want exactly what you want, and can wait — new build delivers. But negotiate: lot premium, design centre credit, landscaping allowance, legal fee coverage, GST rebate assignment.
I've negotiated $25K-$50K in builder credits for clients. The builder rep won't offer. I will.
Book a new-build strategy call — we'll run your numbers on your lot.
Just Call John: 780-937-7534
John Carle, REALTOR® — 25 years. I've walked 100+ PDIs. The showhome is a stage set. The contract is reality.
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