In addition to monthly costs associated with homeownership, buyers should also consider the condo itself. Narrowing down the list of available condos to only those that meet your needs and are viable options will give you a great starting point, and then you only need to compare the costs of remaining condos. Some aspects of these condos to consider include the following :

• Builder reputation, property and condo board reviews, and other vital information.
• Condo rules and regulations – If you have any questions or concerns, address them prior to making a decision. If any of the rules conflict with your needs or future plans and you cannot come to an agreement, then it is best to look elsewhere. Diligence now will save you from facing a huge hassle later on.
• The age of the condo building and the unit itself

Speaking of age, let us take a look at some of the pros and cons of new construction versus older units. The overall age of the building is important, as older buildings typically come with the expectation that a great deal of maintenance and repairs are in store. The following are some of the advantages and disadvantages of each.

Pre-Construction Condos

Pre-construction condos are excellent options because they are freshly built, and many people love the idea of owning a home that is completely theirs, with no previous owners or tenants and no damage. Additional advantages include :

• The buyer is the first and only owner of the property and therefore can customize it to their specifications. They have the option to choose appliances, cabinetry, flooring, walls, light fixtures, and more.
• Although new builds generally cost more than older units, the buyer can save a great deal by purchasing early rather than waiting until the building is completed or nearing completion.
• The fact that the building is still under construction means that the buyer does not run the risk of the unit being snatched up before payment is secured. This gives the buyer much more time to save up for deposits and other fees.
• Furthermore, condo fees alone are typically lower for new buildings. These fees typically increase within the first few years as adjustments are made to reflect actual costs.
• Fire and safety hazards are a minimum, as new and pre-construction builds do not have the wear and tear of older units, and they require significantly less maintenance and repairs.

However, pre-construction condos are not without their issues, and some may be turned off by the idea of purchasing a home, sight unseen. These are a few of the problems noted when considering new builds as an option :

• The biggest disadvantage to purchasing a pre-construction home is the inability to view the condo beforehand. The most the buyer is able to see are the artist’s renderings and floor plans. This makes it difficult to know for sure what their home will look like and whether it will truly work for them and their family.
• The amount of time put into purchasing a home is another disadvantage. While a buyer can move into an older unit immediately once the purchase is finalized, pre-construction builds do not offer that luxury. These buyers must wait months or even years for their unit to be finished, and they can sometimes experience delays that push that date back even further.
• However, once the unit itself is completed, the buyer is able to occupy the unit while the rest of the building is under construction. Unfortunately, the unit is not currently considered owned property, and therefore the buyer must pay rent to stay there until the building is completed and mortgage payments can officially be made.
• The buyer faces a number of additional fees upon closing. Pre-construction condos differ from resale units in that they are subject to HST.
• New builds are typically constructed in similarly new, undeveloped areas of larger cities. While the condominium may be located in a beautiful part of the city with stunning views, additional builds may pop up and obstruct those views later on down the line. Buyers should base their decision on additional factors, rather than pinning all their hopes on a single feature that may eventually change.

Older Buildings

While pre-construction builds are fascinating and typically offer the newest and best features, resale units are often great choices because the buyer can view the condo fully before making a decision, and what they see is what they get. Additional advantages of older units include :

• As mentioned above, older units differ from pre-construction builds as buyers can move in immediately rather than having to wait for the until to be built.
• The buyer can request additional information to help make the decision easier. For instance, inquiring about previous ownership can help the buyer to make an informed decision by comparing occupancy and utility costs to determine what those costs will likely be for the current buyer and their household.
• The buyer has access to property and condo board reviews, as well as other information regarding the unit and building as a whole.
• Many buyers prefer older buildings because of all the history behind them, stories that have been told, and lives that have been lived within their walls.

However, the convenience of moving in straight away is often dampened by negative aspects of resales, such as increased expenses and hoops that buyers often need to jump through in order to secure the condo they desire. Some of the disadvantages of older buildings and condos include :

• The need to invest in renovations and repairs to ensure that the unit is safe and that all features are working properly.
• Buyers vying for an older building, particularly one of great historical significance, often must engage in bidding wars.

Things to Consider Before Purchasing a Condo Part II : Narrowing Down Your Options by Condo.ca