Buying a condo for the first time is an exciting experience. From exploring what’s on the market to putting down your deposit on the perfect place, it’s easy to focus on the best aspects of the process. Of course, there are bound to be challenges as well—and it’s important to be prepared for them. Here are five mistakes every condo buyer should avoid….
1) Failing to obtain pre-approval
This point applies to all properties, including condos. The first step toward buying a home is obtaining mortgage pre-approval. The process consists of a lender looking closely at your finances and telling you how much financing you’ll likely receive. Having pre-approval not only helps you budget, it shows sellers you’re a serious buyer. In a hot market, forgoing it could hinder your ability to act fast.
2) Not knowing what you want
Pre-construction or resale? Modern condo tower or character-filled low rise? There are so many choices when it comes to the Toronto market. If you don’t narrow things down a bit before jumping in, your bound to feel overwhelmed. That’s why it’s so important to do some research beforehand—and speak to a real estate professional who can help you understand what’s available. It’s the key to an efficient search.
3) Sacrificing location
There’s nothing quite like finding a gem of a building. Unfortunately, if the location is nowhere near where you want to be, you may soon have buyer’s remorse—especially if you don’t have easy access to transit. The good news is, an experienced local agent can help you find a place that strikes the right balance. They’ll know various neighbourhoods that could be a good fit for you, and can work with your budget and criteria to find a unit that works for you.
4) Getting distracted by decor
When you walk into a condo that’s immaculately decorated, remember to focus on the space—not the furnishings. Chances are that a talented stager has poured time and energy into creating a highly appealing aesthetic, but it’s all going to be packed up when the unit is sold. On the other hand, try not to dismiss a place with potential just because it’s poorly decorated. All too often, decor leads people to overlook great condos, or settle for ones with issues.
5) Not reviewing the status certificate
Every condo comes with a status certificate. This crucial document provides vital information on a building’s management, financial health, and more. It also contains insight into whether tenants might encounter potential future costs like those associated with a lawsuit or special assessment. There’s a good chance your real estate agent will advise you to make your purchase conditional on a status certificate review. This is your opportunity to have your lawyer go over all the paperwork, and it’s a crucial piece of due diligence.
For over 36 years, our clients have trusted us to minimize risk, offer unbiased opinions, and ensure their best interests are served. Contact us today to talk about your needs, by emailing us at evan@christensengroup.ca or calling us at 416-441-2888 ext. 772.
