When you buy a condo, you’re not just buying a place to live. You’re becoming part of a community. Before you make an offer on your dream condo, Canada Mortgage and Housing Corporation (CMHC) recommends that you get some expert advice to help you navigate through the process. CMHC has identified many industry professionals who are available to provide you with information. They are the following: Real estate agent: A real estate agent who specializes in condominiums can save you time, energy and help you make an offer once you’ve found the condo that’s right for you. Make sure you're clear about who's paying their commission and what your obligations will be once you’ve signed any agreement. Be specific about the type, features, location and price range you’re looking for in a condo. This will allow your agent to pre-screen properties that are within your specifications. · Real estate lawyer: A lawyer who is knowledgeable about condominiums can protect your legal interests, explain all the documentation and review the purchase and sale agreements. Your lawyer will determine whether or not there are any legal actions pending against the condominium. If your offer is accepted, he or she will also be responsible for many of the closing arrangements. · Home inspector: A qualified home inspector will go through the condominium unit and common elements and perform a comprehensive visual inspection. The inspector will determine the components that are not performing properly as well as items that are beyond their useful life or are unsafe. He/she will also identify areas where repairs may be needed or where there may have been problems in the past. Inspections are intended to provide you with a better understanding of property’s condition before you buy. All too often, people make purchase decisions too quickly in anticipation of competing offers. This can leave you vulnerable to substantial additional repair and renovation costs that a pre-purchase inspection might have detected. · Financial Institution: Your bank manager or financial advisor can help customize your mortgage to suit your financial goals and ensure you can afford your monthly mortgage payments. CMHC’s on-line interactive guide Homebuying Step-by-Step, available at www.cmhc.ca, can help you determine what price range you should be looking at and how much you can really afford. · You should also investigate the financial well being of the condominium corporation you'll be buying into. For resale condominiums, check documents such as the estoppel or status certificate as well as annual operating budgets and end-of-year financial statements. Technical audits and reserve fund studies can also offer insight on the condition of the building and the adequacy of the reserve fund to meet future major repairs and building renewal work. For new buildings, also review the full disclosure statement. |