Buying a condo is different than buying a single-family home – there are benefits like reduced maintenance for you, on-site amenities, and more. But there are also some drawbacks, like monthly condo fees and condo boards.
Buying a condo is an excellent option if you need less space, want the ease of apartment living while owning an asset, or have enhanced security.
If you’re looking at buying a condo and want to know what to expect when buying a resale condo, here is some information to consider.
What are the Benefits of Buying a Resale Condo?
Having the opportunity to see what you’re going to get is a valuable opportunity that you miss out on with new-build condos. You can see exactly how the layout is, how functional the space is, and the building’s condition as a whole.
Because it’s an established building, you also have access to other financial information and inspection documents and can recognize any existing patterns in wear and tear of the building.
Tips for Buying a Resale Condo
What are some action steps to take during the condo-buying process?
Understand the Condo Fees and What They’re Used For
Condo fees are an essential part of condo maintenance. They go towards snow removal, groundskeeping and landscaping, garbage collection, and more. It’s vital to understand what you’re paying for to accurately compare when you shop around.
Find out if owners experienced an increase in condo fees in years past or if they anticipate fee hikes coming up to factor into your purchase decision.
Investigate Whether Special Assessments are Anticipated
Special assessments are additional charges on top of condo fees that owners must pay for extra maintenance costs. If the building has to replace the siding on the building, renovate a common area of the building, or any other significant project, it can put a dent in your budget.
Check if There is Any Remaining Warranty Coverage
Depending on the age of the building, there may still be warranty coverage on the unit. Try to find out what remains on the warranty and what deficiencies it covers. It’s also helpful to know if they have done any repairs under warranty in the past.
Have an Inspection
Even though you’re not shopping for a single-family home where an inspection examines the whole structure. you should still have a home inspection to check on the unit’s integrity. An inspector will write up a thorough report that indicates every potential repair or maintenance tasks you can expect to do immediately or in the future.
An inspection report is an essential tool to compare to other units you’re considering on your hunt for a new home.
What is the Seller Including in the Purchase Price?
Check with the seller’s realtor to outline what exactly the seller includes with the purchase of the unit. Will appliances or furniture be included in the sale?
You should also investigate all fees – is there a fee for parking or storage? Is the use of amenities included in the purchase, or do you have to pay separately? It would help if you understood any other charges above the cost of the unit before making a purchasing decision.
Bottom Line
Purchasing a condo can be complex in different ways than buying a house. These are some tips to help you through the process, but you also need an experienced realtor to help. If you’re in the market for a condo and need an expert to make the process seamless, reach out to our team for help.
