By Lynda Cox
Let’s start off with the statistics since our last look on November 5th 2019.
RESIDENTIAL
- Active 2 Conditionally Sold 1 SOLD 29
Eleven of these properties sold in bidding wars ranging from $2K to $80K over asking.
CONDOMINIUM
- Active 18 Conditionally Sold 1 SOLD 139
Twenty-three of these properties sold over asking, ranging from $1K to $35K over list price.
As you can see the condo market is booming, and we expect this to continue. If you are considering downsizing to a condo what do you need to know?
First, you need an idea of where you want to live. Walk the streets you like best. Take down addresses of buildings that impress you.
Second, you need to get a good sense of the prices and the pace of the market in those buildings. It is helpful to ask your realtor to start you on an MLS email feed. That way you can see daily everything that is available and selling in your preferred buildings. On MLS the initials DOM (Days on Market) will help you understand how long properties are taking to sell.
Watch the “Comment” section closely regarding specific offer dates. Usually “hot listings” (“hot” meaning well priced and/or in a very desirable building) will be on MLS for three to seven days before offers are made. If you fall in love with something you visit you might have a few days to decide before having to submit an offer. Those few days can be crucial in helping you and your agent draft a great offer.
Whether parking and ockers are included is always detailed on MLS. Always check to see if they are owned or just “exclusive use”.
Once your offer is accepted you typically have five business days to do an inspection and arrange financing. If competing with other offers always remember that you have the option to waive or shorten those conditions if you feel confident doing so. (This is not recommended but is often helpful in making your offer more appealing.) In the case of a hot property you are encouraged to arrange financing and complete the inspection prior to putting in your offer. This will keep your offer “cleaner”, meaning there are fewer conditions so your offer is ultimately more desirable.
After making your offer, you and your lawyer have approximately 13 days to order, receive, and review the condominium documents. This is called the Status Package, which details the financial status of the unit and the reserve-fund health of the condominium corporation. You also receive all the by-laws that all owners must abide by. Do they allow pets? If so is there a size restriction? Can you rent extra parking spaces? Is there visitor parking? Are you allowed to rent your parking space? Is the building cannabis/smoke free? Does the building allow short-term tenants like Air B and B? Can you remodel freely or are there restrictions?
You will also want to know if there are any pending law suits and/or special assessments. Before offering, you or your realtor can call the management company and ask these questions. Sometimes the listing realtor has pre-ordered a copy and will make it available to all interested buyers prior to the offer date.
For your information, a special assessment is a levy for each condo owner above and beyond the condo fees. It is used for large repair items that the board has decided should be funded separately from the reserve fund and/or increased condo fees. NB: There should always be a clause in your offer to purchase that states that the current owner is responsible for any special assessment levied prior to the closing date.
The transition to condo living is a great time to purge all of your unnecessary “stuff”. I speak from experience. We moved to our Lowertown condo in 2013 and now feel free to travel and enjoy our freedom from the “stuff” that had accumulated in our home’s basement and closets. Moving to the Byward Market area was our best move ever. Try it. You’ll love it too.
Lynda Cox is a member of the Cox Home Team at Royal Lepage Performance Realty