Condo Buying Process
Step 1:
Determine and Secure
Your Financing
The first step in any real estate transaction is determining your affordability. Many buyers chose to work with a mortgage specialist from their bank. While this is a great option, seeking guidance from a mortgage broker that is not affiliated with a particular bank is also worth considering, as they often have access to a wider range of lenders and can sometimes have more favorable rates. We recommend working with Neil Keeping at the Mortgage Group! Whether you work with a mortgage broker or your bank, getting pre-approved is the first (and one of the most important) steps in purchasing your condo.
Step 2:
Hire a REALTOR®
Once you have your pre-approval in place, the next step is to hire a REALTOR®. Real Estate Agents have the expertise to show you any home in your desired area. The best part? Hiring a REALTOR® doesn't cost you anything, as the seller covers the commissions of both their agent and the buyer’s agent. Commission fees are deducted from the selling price at closing, and whether you work with an agent or not, the selling price at closing stays the same. Having a professional by your side offers multiple advantages – not only do they protect your interests and ensure a smoother process, but they also ensure you have access to all available options. With a REALTOR® on your team, you can confidently navigate the real estate market and make informed decisions that align with your needs.
Step 3:
Start Viewing Condos
Create a list of preferred areas to live in. Explore neighbourhoods and make note of your must-haves. Ask your REALTOR® to set you up with listing alerts, ensuring you receive the latest listings to your inbox daily. This is especially important in a hot market like Halifax, as you’ll want to stay informed in order to seize opportunities.
Step 4:
Found a Condo You Like?
Make an Offer
Once you have found the perfect condo, you’ll want to sit down with your REALTOR® to go over the necessary documents to submit an offer. Once you have decided on the details of your offer, it’s time to sign and submit your offer to the seller’s agent. Your REALTOR® will prepare the documents, collect your signatures, and submit the offer on your behalf.
Step 5:
Get Offer Accepted
Now is the time for your REALTOR® to step in and work their magic; negotiating the optimal deal on your behalf. The agreement holds various elements open for negotiation, including but not limited to the price, closing date, and what items will remain with the home (such as appliances or furniture). When working with us, you can rest assured that we’ll expertly navigate these negotiations to ensure your best interests are represented, and the most favourable terms are secured for you.
Step 6:
Choose a Lawyer
Every Agreement of Purchase and Sale must be reviewed by a lawyer. You can hire a lawyer of your choosing, or as our client, we can recommend one we trust to you. Your lawyer’s role in the transaction involves carefully reviewing the contract to ensure all aspects are in order. Additionally, they perform a thorough title search on the property, verifying its legal status and handling the necessary funds for the purchase. We work with our client’s lawyers directly to ensure they have all documentation they need to do their job.
Step 7:
Meet Conditions of Sale
When buying a condo there are typically four conditions of sale, as follows.
Financing: You must confirm your financing with your bank or mortgage broker.
Insurance: Your insurance company will have to supply a letter confirming that the home is insurable.
Condo Inspection: We always recommend hiring a home inspector to inspect your property for deficiencies prior to going firm in your purchase.
Document Review: You will want to review documents such as property taxes, power bills, equipment schedules, restrictive covenants and more to ensure you have all the info necessary for a successful closing.
Condo Document Review: Lastly and most importantly, thoroughly review the condo documents. There are many different condo documents that your REALTOR® and lawyer will review to insure the building and corporation are running smoothly, and there are no major issues that will cost you down the road. Most notable are the financial statements, Reserve Fund study, condo board meeting minutes, Condo Declaration and Bylaws.
Step 8:
Preparing to Move
Before you move to your new home, there are a few things you will need to make sure are in order. You will need to contact the Nova Scotia Power, Halifax Water, and your cable and internet company to make sure they are connected to your new address in a timely manner, preferably by the closing day. You will also need to contact Canada Post to change your mailing address, and book your moving company prior to closing. When you are moving into a condo building, you will also need to contact your building’s property management company to open your account for your condo fees and book the elevator (if there is one) for your move.
Step 9:
Pre-Close Inspection
After the previous owner has vacated the condo, your REALTOR® will coordinate a pre-closing walk-through, usually conducted the day before or on the closing day. During this crucial step, it's essential to ensure the condo is in satisfactory condition before officially closing on the property. Take the opportunity to inspect that the home and appliances are clean, the walls are free from holes, and there is no unwanted debris or belongings left behind.
Step 10:
Closing Day
Now the fun begins. You have been just handed the keys to your new condo. Time to make it your own!
““Andrew and his team are top-notch, extremely efficient and very professional at getting things done. I would highly recommend them especially during a market as difficult as this one!””