Market News

When it comes to the modern property market — especially for first time buyers — a strata development should be just as viable of an option as a conventional home. To help you understand why, we’ve put together this mini guide to understanding the ins and outs of the rules and procedures around buying a strata unit, as well as some of the reasons it might be right for you.

Before we dive in, if you’re confused as to what a strata is, don’t worry! It’s simply the legal term for a condominium in British Columbia, and we will simply be referring to it by its more colloquial term, a condo, for the purposes of helping you understand.

Why Opt for a Condo

For many a house is still the end goal of their journey on the property ladder. However, it should be noted that condo living is increasingly becoming a desirable option, and it could turn out to be the perfect choice for you. One of the reasons is that a condo can offer a more secure and hassle free living experience, as you don’t have to worry about being solely responsible for the maintenance and repairs of the entire property.

Generally condos offers an all encompassing lifestyle experience, with most modern developments coming with access to an array of onsite and nearby facilities and amenities, including added security features compared to a house. Plus you can be granted a say in any future plans for the building and the surrounding area.

Aside from the lifestyle elements, buying a condo generally comes with a lower purchasing point compared to a house, making it an attractive option for those looking to enter the real estate market or invest more affordably.

Knowing The Rules

In addition to the various rules and regulations that cover condo ownership and development province wide, prospective condo buyers will also need to familiarize themselves with the rules of the specific community they’ll be buying into.

Generally each condo building will come with its own regulations and bylaws, and these will often cover:

• Monthly fees that will go towards repairs, upgrades, and maintenance of the building and surrounding estate.
• Insurance policies for individual units.
• Pet restrictions or rules.
• Internal policies and bylaws.

If this information is not readily available through your REALTOR® or the development’s own website, it can be helpful to contact current owners and have them answer any questions you have — there will often be a Facebook or social media page for the owners, and this can be a great way to reach out.

You can also check for past the minutes of strata council and general meetings, to give you an insight into recent developments, and how proactive they are regarding repairs and upgrades. If it’s a new development and none of this is applicable, the owner/developer is required to give you an up to date disclosure statement that will outline their intentions, and cover any important legal and marketing information, as well as their future plans for the building and estate.

In addition to this, it’s important that you’re aware of the rules governing condo ownership and development in BC, most of which are covered under the Strata Property Act. This outlines that once a strata plan is registered in the land title office, a strata corporation is formed. Each owner of an individual lot becomes a member of this corporation, and together they own and are responsible for making decisions about the common property and expenses.

It's important to note that not all condominium complexes in BC will be set up as strata corporations however, as there are also apartments, townhouses, and duplexes, that will be governed by different laws, so you should always check with your REALTOR® about the specifics of any property you might be interested in.

How To Make Your Decision

When it comes to buying a condo property, you’ll be looking for a lot of the same things you would with any other property buying decision, with key factors such as location, space, aesthetic and more. But there are some specific guidelines that you should keep in mind to ensure you get the right unit and development for your needs.

While the condition of the unit is always important, you should also keep an eye on the general condition of the building. As strata repair costs are split among all unit owners, you will be paying for a share of any future repairs.

Understanding future costs and levies is also a key factor in determining whether the community itself is right for you. For example, if you’re borrowing heavily and have significant mortgage costs to factor in, you may want to avoid stratas with expensive amenities, levies, or repairs. Conversely, you should also factor in the kind of amenities and facilities that will be most valuable to you, and prioritize developments that offer those. Just remember that all condo owners make the same individual contributions for amenities irrespective of whether they use them, so factor this into your decision making and try to avoid paying extra for amenities that don’t appeal to you.

Finally, just as it’s important to get a feel for the ambience and personality of the neighborhood when buying a home, you should do the same for any condo estate and building you may be looking to move to and make sure that it all feels right for you.

Choosing a condo aligns with a modern, dynamic lifestyle, offering a combination of convenience, community, and financial practicality that appeals to a diverse range of individuals and families. So whether you’re looking for a condo to be your ideal first time home, or simply believe it’s the ideal investment opportunity, you’ll be able to rely on Ian Fraser to guide you through the process and get the best results for you. Get in touch today to get started on your property journey.