There are situations where condo buyers should get an inspection
It also pays to have a pro read the condo documents, writes Dennis Faulkner.
When purchasing an apartment condominium, is it worth shelling out $350 or more to hire a professional inspector?
Unlike a single-family home, there aren’t any mechanical elements (furnace, hot water heater, air conditioning, etc.) to inspect. In most apartment condos you are only responsible for the ‘paint-to-paint’ — whatever is between the walls. Even windows and exterior doors are usually the responsibility of the condo board.
There is also no foundation, roof, or exterior structure that an inspector will typically view or assess. The mechanical and structural elements are assessed as part of the building’s reserve fund study, which is required to be completed every five years.
The reserve fund study forms part of the condo documents that should be reviewed carefully by any prospective buyer. So what is included in an inspection of an apartment condo? Typically an inspector will examine the interior doors, flooring, trim, walls, cabinets, appliances, taps, toilets, bathtubs, showers, exhaust fans, hardware, fireplaces, smoke detectors and electrical outlets. So, is it worth paying $350, or can you check most of these things yourself to see if everything is in good working order and keep the $350 to use for small repairs or defects that show up? My answer to this question is going to be ... it depends.
First off, are you a ‘handy’ kind of person? If you found a problem in the apartment suite later on could you remedy it yourself at minimal cost?
If not — and if there was a problem found during a professional inspection that your realtor was able to negotiate getting fixed — then you may be better off paying for an inspection.
Second, do you have enough extra money to do the inspection and hire a company to professionally review the condo documents on your behalf ? There are good arguments for having the condo documents professionally reviewed. Most buyers likely don’t have the experience or training to adequately understand and interpret everything in the condo documents, and sometimes it might be best to use your limited funds for a professional review of the condo documents.
If you do hire a professional to review the documents, I highly recommend that you still review them yourself. I know that it’s a lot of reading, but it may very well be worth it, especially if you find something in the bylaws that restricts the way you want to use your new purchase.
Third, does the apartment condo have any mechanical elements that are part of the suite? In a small percentage of these condos each unit will have its own furnace, hot water tank, and air conditioning. In these cases it’s more important to hire a professional inspector. I had one experience where, after discussing with my client whether or not he should hire an inspector and after deciding to proceed with an inspection, we found that the kitchen counter was not properly secured to the cabinets and there was damage to the cabinets that both he and I did not even notice.
In this case he was quite happy he decided to hire the inspector, as we were able to renegotiate the contract based on these defects.
Fourth, if you’re lucky enough to find an inspector that will go above and beyond a typical apartment condo inspection and attempt to inspect the foundation and structure of the building, then by all means I recommend proceeding with an inspection. The foundation of most apartment buildings is difficult to inspect, but if it is has underground parking it becomes much easier. If you’re a first-time homebuyer, getting your prospective condo purchase professionally inspected can also give you more peace of mind and confidence in your purchase, and you can’t put a price tag on that.