Buying Your Condo with Confidence
by Andy Shaw and Lynn Waghorne
Our aim was to simplify our lives. As empty-nesters, it was
time to downsize. Sell the house in the burbs and buy a small downtown condo. A common and
simple enough goal these days. Or so it seemed. We soon discovered that for the
uninitiated, buying a condominium is no straightforward exercise.
It's simple enough to figure out what you want (waterfront
view, gas appliances, swimming pool, please) and what you can afford (one bedroom, not
two). But things get complicated the moment you "sign in" to view a
developers model suite. In effect, what you're doing is agreeing to be your own
agent. Youre denying yourself the advantages of having a professional "buyer's
agent" act on your behalf.
We knew nothing about buyer's agents before we saw a
desirable condo in the King West area of downtown Toronto. We signed in. Found a very
appealing corner suite (no gas appliances or pool, however) at an affordable price and
said we'd be back in a few days with our first deposit. It's a scenario that probably gets
repeated by starry-eyed condo buyers like us a few hundred times a day. Luckily, second
thoughts kicked in soon after we got home. A World Wide Web search landed us on
www.simplycondos.com. And our whole condo-buying process soon got a lot simpler.
Free Service
We learned via the site what a buyer's agent is and could
do for us.
"My services are free to you," wrote Charles
(Laurie) Hanes, a buyer's agent and the spirit behind www.simplycondos.com in response to
an inquiring e-mail. "I'm compensated out of commissions or referral fees paid by
developers or realtors. Not by you."
Professional help at no cost? Was this too good to be true?
To find out, we arranged to meet Laurie. He promised to
show us the kind of condo our money could buy and further explain his role. It was a smart
move.
"We're part of the industry," Laurie explained as
he showed us a vacant one-bedroom condo that had just come on the market. "We bring
developers customers so they accept us. But we represent the buyer, not the seller."
And Laurie knows the sellers business. He spent 20
years on the other side of the fence working for developers and training their sales reps.
"What you don't want is high pressure sales tactics,
said Laurie. "Once they know that you are protected under a buyer's agency they will
drop the pressure and give you the info you want."
And what you need to know isnt always obvious.
Condo Know-How
"Not all suites within a condo are the same,"
said Laurie. "On your behalf, I study the site plan and actually go to the site. I do
things like figure out the premier views, see what the obstructions are, and look at the
future uses of adjacent lands. Once that's done, we work together on picking the condo
that best meets your needs. After that, I help you negotiate the purchase agreement. It
may sound a little complicated but it's a systematic approach that enables you to make
informed decisions."
As we left the condo, Laurie added, "You've found a
suite on your own and it looks pretty good, but its not exactly what you want. If
you designate me as your agent, you can send me a list of all the things you're looking
for -- and I'll find what you want. Good condos come on the market everyday."
That gave us confidence. We pocketed the check for our
first pick and went home. We then e-mailed Laurie, formally asking him to be our agent and
providing him with list of things we would like to have in our new home. Within 10 days,
and with Laurie's help every step of the way, we had found and purchased our condo hard by
the Toronto SkyDome. The condo hit 16 out of 17 items on our wish list including all our
must-haves and a waterfront view.
Negotiation Help
Most helpful was Laurie's presence during the signing of
our 21-page agreement. He joined us in the developer's office to go over both our lawyer's
and his own recommended changes -- reminding us that such agreements are always cast in
the seller's favour. He helped us move through the agreement page by page, negotiating
changes and overcoming the developer's resistance to us initialling each page -- a step
that ensures neither the developer nor anyone else can change those pages without our
consent. Closing a deal on your new home is pretty heavy stuff and tricky territory for
the neophyte. If it weren't for Laurie's level head and vast experience we would not have
got the best deal possible.
Our building's not built yet. It's still just a parking
lot. And we won't move in until November 2003. But already, thanks to Charles Laurie
Hanes, our lives are a lot simpler.
Andy Shaw is a freelance writer and broadcaster. Lynn
Waghorne is an editor and graphic designer. Their story may be reproduced with permission.
You can reach Andy at andyshaw@ca.inter.net
or Lynn at lynnwaghorne@sympatico.ca.