Condo ownership part II: Let the hunt begin

Shopping for a new condominium is an exciting process. But as with all substantial purchases, there are important considerations to weigh before making your final decision.

Firstly, if you don’t need to move into a new home immediately, there are significant advantages to buying your condo during a development’s planning stages.

In order for a builder to receive construction financing, 65 - 75 per cent of the suites have to be sold. To reach this goal, it’s in the builder’s best interest to offer better prices earlier on in the sales process. Buying early can result in substantial savings and offers the greatest equity growth potential.

It also allows you a much wider selection of floorplans and locations within the building.

Think about where you want to live. While the most important factor influencing price in real estate is location, it doesn’t mean the priciest section of town is necessarily the best for your personal lifestyle. Consider proximity to your workplace, and to the kinds of amenities you feel are important, whether that means shopping, restaurants, greenspace or recreational centres.

Once you’ve zeroed-in on a particular condominium development, it’s equally important to consider the location of the unit itself within that development. Examine how close it is to the elevator, the street noise levels and the quality of the view; often, the higher the floor, the higher the price.

This raises the question, how much do you want to pay? Your personal budget may not allow you to buy the penthouse of your dreams. Weigh what’s most important to you.

Some factors to consider when selecting your suite include functionality of the layout, exposure to natural light, ceiling heights and access to a balcony or other outdoor space.

A development’s curb appeal will affect your enjoyment of your home and its resale value. The same applies to density; the fewer people sharing your development’s facilities, the better.

All condos are not created equal. What’s behind the walls – mechanical systems, for example – is just as important as those things you can see, though admittedly more difficult for a homebuyer to judge. That’s why choosing a builder with a good reputation is crucial.

Research builders. Ask your realtor for information, visit previous developments, speak with current owners and research the equity growth of their homes as compared to others.

Be sure to check the builder’s Tarion Warranty Corporation Rating. Tarion is a government-regulated organization that licenses all new-home builders in Ontario, and provides safeguards to all new-home purchasers.

Finally, make sure the builder has a strong customer service team with extended hours.

There’s no denying that buying a home is an emotional process. Just be sure not to let your heart rule your head.

Related reading

Have patience when buying a pre-construction condo

Understanding the basics of owning a condo