Buying a condo means buying two things: your unit and a share of the building. A unit inspection checks what you will own and maintain directly, but the bigger financial risks are often in the common property, such as the roof, envelope, parkade and mechanical systems, that you will help pay for. A good condo purchase combines an inspection of the unit with a careful review of the condominium's documents.
Inside the unit
A unit inspection focuses on the parts you will be responsible for, and on signs of problems coming from the building. The diagram shows how the two halves of a condo purchase divide up.
- Windows and balcony doors: operation, seals, condensation, fogged glass and water stains below. See air leakage around windows and doors.
- Walls and ceilings for stains, cracks and signs of past leaks, especially from units above.
- Plumbing fixtures, shut-off valves, visible supply lines and the water heater if the unit has its own.
- Heating and cooling: fan coils, heat pumps, baseboards or in-floor heat, and filters.
- Bathroom and kitchen exhaust fans, and that they vent properly.
- The electrical panel, outlets, GFCI protection near water, and smoke and carbon monoxide alarms.
- Appliances, especially dishwashers and washers with hoses that can leak.
- Flooring and subfloor, and any sign of moisture.
- Balcony surface, railings and drainage.
- Your storage locker and parking stall.
Signs of building-wide issues
Even from inside one unit and the common areas, an inspector can often spot clues about the building:
- Water stains around windows in several units or in corridors may point to envelope problems.
- Rust stains, spalls or leaks in the parkade can mean corrosion of the structure. See parking garage inspections.
- Efflorescence or cracking in exterior walls or cladding.
- Poor upkeep in mechanical rooms, corridors and amenities.
- Repeated repairs, patching or temporary fixes in common areas.
- Elevator certificates and fire safety system inspection tags that are out of date.
Access to common areas and roofs may be limited, so these observations are usually a sample, not a full review of the building.
Documents to review
The condominium's records are just as important as the inspection. Ask for, and read:
- The reserve fund study (called a depreciation report in BC) and the reserve fund plan. Look for major work coming up and whether contributions follow the plan. See reserve fund studies and capital planning.
- Financial statements and budget, including the current reserve balance.
- Board meeting minutes for the past couple of years. They often reveal leaks, disputes, upcoming projects and discussions of special assessments.
- Bylaws and rules, including what owners must maintain and restrictions on renovations, pets and rentals.
- Any building condition assessments, envelope reports or engineering reports.
- Insurance details, including the deductible, which owners may have to cover in some situations.
- Information on lawsuits, special assessments and warranty claims.
The name and availability of these documents differ by province. In Alberta, BC and Ontario, buyers can request a package of condominium information, and your real estate professional or lawyer can help you get and review it.
Reading the minutes
Board minutes are often the most revealing document in the package, because they record problems as they come up. Read them in order and look for patterns:
| What you read | What it may mean |
|---|---|
| Repeated leak reports from different units | A building envelope or plumbing problem rather than one-off events |
| An engineer hired to investigate something | A problem large enough to need professional assessment; ask for the report |
| Discussion of a loan, special assessment or fee increase | Costs the reserve fund may not cover |
| Projects postponed year after year | Deferred maintenance building up |
| Disputes with the developer, contractors or insurer | Possible legal costs or unresolved deficiencies |
| Insurance claims or a rising deductible | Higher costs that may pass to owners after a loss |
A typical case
A buyer finds a top-floor unit in an older low-rise building. The unit inspection finds the unit in good shape, apart from a faint stain on the ceiling near the balcony door and a window with a fogged sealed unit. On their own, these are minor. The document review fills in the picture: the minutes mention several roof leaks over the past two years, the reserve fund study puts roof replacement a few years away, and the reserve balance looks low compared with that cost. Together, the stain, the minutes and the study suggest the roof may need work sooner than planned and that a special assessment is possible. The buyer asks the corporation whether the roof work has been scheduled and how it will be funded, and factors the answer into the offer. Neither the inspection nor the documents alone would have told the full story.
Know where your responsibility starts. Bylaws define which parts of the unit are yours to maintain and which belong to the corporation. Windows, balconies, plumbing in walls and in-suite heating equipment are handled differently from building to building, and that affects who pays for repairs.
Renovated units
Many condo units have been renovated, sometimes more than once. Ask the seller what work was done, by whom, and whether the corporation approved it and permits were obtained where required. Pay attention to moved plumbing fixtures, replaced flooring that may affect sound transmission to the unit below, removed walls, and electrical changes. Unapproved alterations can become the buyer's problem, and poorly done plumbing work is a common source of leaks into neighbouring units. If the unit has new finishes over areas that once leaked, ask about the cause and how it was fixed.
New condos
For a newly built condo, inspect the unit before possession and again before your warranty deadlines. Report deficiencies in writing to the builder and the warranty provider within the required time. See new home warranty inspections for how warranty coverage works.
How ehZee can help
An ehZee home inspection of a condo covers the unit's systems and finishes and notes visible signs of building-wide issues. You can walk the unit with the inspector, hear the findings on the day, and receive a written report within two days.
Common questions
Do I need an inspection if the building is well managed?
Yes. Good management reduces building-wide risk, but your unit can still have leaks, aging equipment or past renovation problems that only an inspection will find.
What is a special assessment?
A one-time charge to owners when the reserve fund cannot cover a needed repair. Minutes and the reserve fund study are the best clues to whether one is likely.
Can the inspector go on the roof or into the parkade?
That depends on access arranged through the property manager and on safety. Common areas such as corridors and the parkade are often viewable, while roofs and mechanical rooms usually need permission. Ask early, and remember the documents remain the main source of information on common property.