What due diligence to do before buying a condo in Ottawa

Before buying a condo in Ottawa, it’s essential to conduct thorough due diligence to ensure you’re making a sound investment. Here’s a checklist to guide you through the process:

1. Review the Condo Corporation Documents

• Status Certificate: Obtain and review this document to understand the financial health of the condo corporation.
• Reserve Fund Study: Check the reserve fund to ensure it has enough funds for major repairs and replacements.
• Meeting Minutes: Look for any recurring issues or upcoming major projects discussed in recent board meeting minutes.
• Bylaws and Rules: Understand the condo’s bylaws, rules, and regulations to ensure they align with your lifestyle.

2. Financial Health

• Budget: Review the condo corporation’s budget to ensure it’s well-managed.
• Special Assessments: Check if there are any upcoming special assessments, which could result in unexpected costs.

3. Building Condition

• Inspection: Hire a professional inspector to assess the condition of the unit and common areas.
• Maintenance History: Review the maintenance history of the building to identify any potential issues.

4. Location and Neighborhood

• Amenities: Check the proximity to amenities like public transportation, grocery stores, schools, parks, etc.
• Future Developments: Investigate any planned developments in the area that might affect property values.

5. Legal Considerations

• Title Search: Ensure there are no legal issues with the property’s title.
• Insurance: Check the insurance coverage provided by the condo corporation and what additional insurance you might need.

6. Condo Fees

• Fee Breakdown: Understand what is covered by the monthly condo fees (e.g., utilities, maintenance, amenities).
• Fee History: Check the history of condo fee increases to anticipate future costs.

7. Lifestyle Fit

• Community: Assess the community to see if it matches your lifestyle preferences.
• Pet and Rental Policies: Ensure the condo’s policies on pets and rentals align with your plans.

8. Resale Value

• Market Trends: Research recent sales in the building and neighborhood to understand market trends.
• Unit Layout and Features: Consider the layout, view, and features of the unit, as these can impact resale value.

9. Legal Review

• Lawyer Consultation: Have a real estate lawyer review all documents and agreements to protect your interests.

By carefully examining these aspects, you can make a well-informed decision when purchasing a condo in Ottawa.