5 tips for buying a new condo

06 Oct 2015

So you're thinking about buying a new condo – or maybe you already have. There are many aspects that differ when buying and living in a condo compared to a freehold home. Here are some tips to help you make the experience a smooth one:

1. Get legal advice. A condominium lawyer will help you interpret your purchase agreement. It's to your benefit to understand both your own and your builder's responsibilities. For example, the Condominium Act entitles you to a 10-day "cooling off" period that begins on the day you receive the purchase agreement or a document called the disclosure statement, whichever comes later. During this time, your lawyer can negotiate changes to the offer, like capping adjustments to the purchase price, restricting amendments to the size, design or dimensions of the unit or even getting out of the contract.

2. Don't pack your bags just yet. It could be two or three years between the date you sign your purchase agreement and the date you take occupancy of your unit. If construction runs over schedule, it could be even longer. Read the statement of critical dates, outlined in the Addendum attached to the Agreement of Purchase and Sale to get a sense of how long it may take for your condo to be ready for occupancy. If a builder fails to close the sale or substantially complete construction, deposits are protected up to a maximum of $20,000 with any excess deposit amounts being protected by the trust provisions of the Condominium Act.

3. There will be some unfinished business. Condo projects are different from single family homes in that the purchase is usually completed in two steps. Step one is interim occupancy. Many buyers find out the hard way that they're required to take possession of their completed unit before common element features like front reception, landscaping and the swimming pool are finished. This means you could live for many months without the anticipated amenities.

4. Inspect your unit carefully. Before you take possession of your unit, your builder is required to conduct an inspection with you. This is your chance to ensure there is no damage, incomplete or missing items, and everything is working properly. Feel free to take pictures of any damaged or incomplete items. If necessary, those photos can be submitted to Tarion at a later date for warranty purposes.

5. Condos include shared living space. A new condo unit comes with a seven-year warranty from your builder that is backed by Tarion Warranty Corporation. The shared areas in your condo, such as the roofing, parking structures, exterior cladding and any shared amenities, are covered under the common element warranty. This is a separate warranty from your unit's warranty. Condo owners are responsible to submit warranty claims for their units only, whereas the condo board handles the common elements.

More information is available online at tarion.com or toll-free at 1-877-982-7466. Information about the Condominium Act can be found through the Ontario Ministry of Consumer Services.

 

Subscribe to our newsletter!


Thank you for your subscription

Latest Articles

Nov 03, 2017

Other Side of the Game: An interview with Amanda Parris

in Arts by Meres J. Weche
"I'm really passionate about telling Canadian stories, and telling them well… Read more >>
Oct 24, 2017

How mortgages have changed

in Finance and Money by News Canada
If you're like millions of Canadians, you're busy paying down your mortgage. It… Read more >>
Oct 12, 2017

Q&A with Zainab Balogun

in Movies by Meres J. Weche
I recently caught up with Nigerian actress Zainab Balogun to chat about her… Read more >>
Oct 12, 2017

Lukumi: An Afrofuturistic Dub Opera

in Arts by Meres J. Weche
Coming into its final weekend at the Tarragon Theatre Extraspace, Lukumi: A Dub… Read more >>
Oct 05, 2017

Meet Miss Universe Canada 2017 pageant finalist Katherine Highgate

in Community by Meres J. Weche
The Miss Universe Canada 2017 pageant will be held this coming Saturday,… Read more >>

Search Site

Latest on Instagram

Featured Events

03 Nov 2017 18:30 – 22 Dec 2017 23:45
TIFF Bell Lightbox
Film

Find a Job

Join Our Mailing List

Copyright © 2005 - 2017 Culture Shox Media Inc. All rights reserved unless otherwise stated.

Privacy Policy

DMC Firewall is a Joomla Security extension!

Join our mailing list!