Sun
There are a number of professionals who can help you find the right condo. Real estate agents, lawyers and notaries, developers and financial advisors all play an important role.
Buying a condo is different from buying a house, so it’s a good idea to hire professionals who specialize in condos.
REAL ESTATE AGENTS
A good real estate agent specializing in existing condos can save you time and energy. You can choose to deal with the vendor’s real estate representative (for existing condos), but you should really enlist one who will act only on your behalf. If you deal with the vendor’s agent, there should be no charge to you, as the agent will be paid a commission by the vendor. An agent acting exclusively for you should not charge a fee for his/her services, as he/she normally shares in the vendor’s agent’s commission. Make sure you are clear on who is paying the real estate agent’s commission, and what your obligations are once you’ve signed an agreement. When you meet with your agent, be specific about what features you’re looking for, location, and your budget. This will allow your agent to prescreen condos within your price range, in the neighbourhoods you want to live in, with the features and amenities you want.
A real estate agent can also assist you in making an offer to purchase once you’ve found the unit that’s right for you.
Remember for a re-sale unit purchase, make the offer conditional upon getting all corporation documents available to the purchaser under provincial legislation, including an estoppel or status certificate where available, or the financial statements and governing documents for the condo. Make any sale conditional upon a satisfactory review of the condo’s financial condition and inspection by a qualified professional.
LAWYERS AND NOTARIES
Hiring a real estate lawyer or notary who is knowledgeable about condos will help ensure that your legal interests are protected. Your lawyer will explain all the documentation for the condo including the declaration, by-laws, rules and disclosure statements and will review your offer to purchase and the purchase and sale agreement. Your lawyer should be able to determine whether or not there are any pending legal actions against the condo that may have financial implications to the unit owners.
If your offer to purchase is accepted, your lawyer will handle many of the closing arrangements.
Architects, Engineers and Home Inspectors A professional inspection is a wise idea. All too often, people purchase too quickly due to the desirability of the condo or in anticipation of competing offers. Buyers could face substantial costs after they take ownership of the unit due to construction-related defects that may have been detected by a pre-purchase inspection. For an objective review of the condition of your unit and building, it is recommended that you find a qualified inspector such as that supported by the Canadian Association of Home Inspectors at www.cahi.ca.
FINANCIAL ADVISORS
Ensure you can afford your mortgage and the monthly expenses you will face as a result of your purchase. Your bank manager or financial advisor can help you customize your mortgage to suit your financial goals and needs. CMHC’s on-line Homebuying Step by Step Guide can also help you to determine what you can afford. You can find the guide on CMHC’s Web site at www.cmhc.ca
