* My wife & I can't decide between a regular home or a condo. Are there any differences between the two that may not be obvious to most buyers?
This was a great question. My condensed response was printed in the Brampton Guardian on October 7, 2009. As promised, here is the full response:
Great question. These are two different types of ownership.
With a "regular" freehold home, you own the land and the property. As such, you are responsible for the maintenance and repairs to your property (roof, windows, snow removal, lawn maintenance, etc).
When you purchase a Condominium, you own everything within the walls of your own dwelling; and a proportionate share of the common elements (eg. Roof, windows, hallways, pool, party room, recreation room, grass, etc). In a Condominium, there is a Board of Directors, comprised of unit owners within the complex, who make spending decisions regarding the common elements. These expenditures are then allocated proportionally to all of the condo owners, known as condo maintenance fees. Buyers should be aware that these monthly condo fees are in addition to your monthly mortgage payments and taxes.
Typically, condominium maintenance fees include exterior maintenance (roofs, windows, doors, exterior walls, etc.), grounds maintenance (snow removal, grass cutting, etc.), building insurance (the exterior structure of the building), property insurance (liability insurance for the common areas, protecting against slip & fall lawsuits, etc.), and property management fees (most condo boards hire a property management company to look after the day-to-day operation of these contracts). Condo fees can also include things like recreation facilities (some condos have exercise rooms, pools, saunas, etc.), and they can sometimes include some or all utilities (hydro, water, heat, cable, etc.).
Condominiums are a good choice for people who don't want to be bothered by the upkeep of a traditional home. Many first time buyers choose a condominium because it's often less expensive than a freehold home -- and this allows them to get into the housing market sooner.
Please keep in mind that if you are buying a Condominium, your agent should make your Offer conditional upon your Lawyer reviewing the Status Certificate to ensure the Condominium Corporation has an adequate Reserve Fund.
Whether you're thinking of buying a freehold home or a condominium, I can walk you through the process and help you make the right move.
All Buyers receive a FREE 7-NIGHT RESORT GETAWAY when they buy a Home or Condo with SARA!
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