What Every Condo Buyer Should Know About Inspections

For many buyers, a home inspection is a critical piece of due diligence. These professional assessments can help purchasers make informed decisions, offer peace of mind, and even provide leverage during negotiations. Of course, the process works a little differently when the property you’re buying is a condo—which leaves many buyers wondering whether they really need to have a unit inspected.

If you’re gearing up to buy a condo, here’s what you should know about inspections…

What condo inspections cover

When a professional inspector assesses a single-family home, they look at everything from its plumbing and electrical systems to its roof, gutter, and downspouts. In contrast, unit inspections don’t include major systems or common elements (since these fall under your prospective condo corporation’s scope of responsibility).

As a result, it’s fairly common practice to forgo an inspection and rely on a status certificate instead. This crucial document will provide you—and your lawyer—with everything you need to know about a building’s management and financial health. It will also delve into specific information about your unit (such as its boundaries and your maintenance fee breakdown).

Should you have a unit inspected?

In a typically-hot condo market like Toronto, buyers often forgo their inspection condition to make a clean offer. Doing so can help ensure that your bid is competitive—just make sure your due diligence is covered if you go this route. For instance, you’ll want to include a status certificate review condition. Taking this step will allow your legal counsel to review pertinent information before your purchase is finalized.

All of that said, there’s one situation where many buyers opt for the inspection, and that’s when a condo comes with its own heating and cooling unit. While you may feel comfortable testing appliances and performing a quick visual assessment of ceilings and walls, an HVAC system is likely a different story. The stakes are high, since deficiencies can lead to heftier utility bills (and exorbitant replacement costs). That’s worth considering if you’re looking at this type of unit.

What about pre-construction?

If you’re buying your first pre-con condo, be aware that a professional inspection is part of the deal. It’s automatically included—and carried out by Tarion. Known as a pre-delivery inspection (PDI), this process consists of the builder walking you through your new unit to determine whether anything is missing or incomplete.

Your PDI report provides a record of your condo’s condition before you take possession (which is critical if you need to make a warranty claim).

The bottom line

Ultimately, it’s your decision whether to have a prospective condo inspected or not. Either way, it’s best to discuss the pros and cons with your agent before forgoing this step. If you decide to do so, they can help you take precautions to mitigate any potential risk.

The purchase process is complex, and even a seasoned buyer or investor can benefit from having their options laid out. Are you ready to start your home search with a condo expert?

Ready to purchase your ideal condo? I have the expertise to find it—get in touch to learn how I can help today.