Real estate question

[Mr.Boggo]

I figure since a lot of SPs and maybe pooners would have experience in purchasing condos, I'd ask here. I'm looking to finally stop renting and buying a condo, I kind of have a general idea of what sort of amenities I want (needs to have a fitness centre).

Is there any advantage in getting a real estate agent or is a condo something I could probably find myself? I figure I'm going to buy new. (after spending time in this hobby, I see what happens in some condos)

 

[john7]

Yes, get an agent, but also be self informed and do some of the legwork yourself. Go to open houses yourself to get an idea of what's out there. That will save a lot of time if you figure out what you want, what you don't want, and you've seen a few places to pin these down. Good luck.

 

[FunSugarDaddy]

I figure since a lot of SPs and maybe pooners would have experience in purchasing condos, I'd ask here. I'm looking to finally stop renting and buying a condo, I kind of have a general idea of what sort of amenities I want (needs to have a fitness centre).

Is there any advantage in getting a real estate agent or is a condo something I could probably find myself? I figure I'm going to buy new. (after spending time in this hobby, I see what happens in some condos)

Interesting question. If i were to buy a condo, like many of the posters have said, I'd lean towards an older one where it can be established whether or not you have a leaky condo on your hands. Even new ones with warranties don't always protect you as I know of a couple who are on the hook for 50k in a leaky condo that was suppose to be covered with the new home warranty.

It wasn't.

As for a realtor, someone said the seller always pays for this. I disagree. The seller technically pays for it, but does so by increasing the selling price to account for it.

That said unless you feel comfortable buying something yourself you should probably get a realtor. Personally I'm past that stage and have sold one house without a realtor (ie I was the selling agent, and the buyer used an realtor) and I have another house listed on MLS and just paid the realtor 725 for him to list it, so in affect I will again be the selling agent.

This isn't for everyone, but it lowers my selling costs considerably and to be honest with you, if a house is priced right, it sells itself, if it's not a realtor isn't going to make enough of a difference to cover his/her commission.

 

[Ray]

What most have already said, use an informed agent, read the minutes...

Hire a contractor to do the building acceptance on your behalf.

The realty agent will have a company or individual they use that can do your acceptance for something like $500 or more. The realtor has a vested interest in you buying that property.

Have your own guy, preferably a contractor, who knows what he's looking at, to look over the property on your behalf. It'll cost you the same as what the realtor is going to try and set you up with.

 

[Mr.Boggo]

Damn, that's some good points there. It never occurred to me that having a fitness centre may end up being junked if the up keep is too much.

If they need repairs, would you really be on the hook for 50K? Who has that sitting around, if you can't come up with it, what would they do? Force you to sell or something?

 

[Mr.Boggo]

I live in Edmonton, I'm starting to wonder if a townhouse may be better. If condo fees are an extra $300 a month, that's a lot of extra cash on top every year. Although, do condo fees typically cover all utility fees that you would have to pay for if you owned a house or do they bank it for maintenance?

As you can probably tell, I want to get a place, but don't know jack shit about buying.

 

[Mr.Boggo]

They put a lien on your unit so that when you sell, the strata gets the money its' owed. It's the reason that you will often see a third or so of the units in a development up for sale after major repairs. Those are all the people that couldn't afford to pay their share of the costs, all they can do is hope that their investment appreciated enough so they can walk away with some of the money they put in after the bank and strata corporation have been paid. I know of 2 strata corporations that found it made more sense to tear down the building and rebuild than it did to try to repair the original shoddy construction. Sometimes when the mortgages were all arranged by the developer through one lender, it just makes sense to walk away.
http://www.ctvbc.ctv.ca/servlet/an/...ondos_100719/20100719?hub=BritishColumbiaHome

Holy christ, they would do that? Make it so you have to sell or tear the damn place down? If they tear down, do you lose everything that you've paid into the equity? What if you can't pay but refuse to sell, can they legally make you sell to collect their repair fees? I never knew a condo board could screw you like that. I mean, if you pay $250K for a condo, that's not bad, but if you get stuck a year later with another $50K, take that $300K and buy a small house instead.

I've heard that if you buy a condo with a business on the main floor (ie a coffee place), that the business will usually cover the condo fees or a large portion of it. Is that true or just someone talking without knowing anything?

The thing is, renting sucks, I don't like the idea of paying someone elses mortgage. A townhouse is looking like a smarter choice now or move into my parents basement.

 

[storm rider]

Given that you are in E-Town and the price of real estate is less than Calgary and far less than Vancouver....I would suggest skipping the condo and the associated risks and opting for a half duplex and turn the basement into a suite...thusly having someone ELSE paying part of and/or your whole mortage payment for you

SR