co-op vs condominium

Sometimes i am being asked by my clients what is  co-op and how it is different from condominium. the main difference between the two is ownership. In condominium you own the unit and share common elements which are paid for with monthly condo fees. With co-op you do not physically a unit but rather you buy shares in a corporation that owns the building. Also in co-op current residents have the right to accept or reject applicant owners or tenants. 

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$330,000

Solstice Condos On Sq1. High Floor Corner 'Jasmine' Suite With Large Balcony And Beautiful, One Of The Best View Of The Lake. This Unit Features Unique Wall To Wall Glass Windows With Lot Of Sun Light,High Ceilings,Just Installed Premium 13.5Mm Laminate Flooring In Entire Suite.Large Living/Dinning Area, Open Concept Kitchen With Upgraded Cabinets,Granite Countertops And Stainless Steel Appliances.Two Good Size Bedrooms,Den,Two Full Washrooms & Laundry

The Unit Is Sold With All Appliances,Electrical Fixtures,One Underground Parking And One Locker.Solstice Is State Of The Art Condo Building With Awesome Amenities And 24Hr Security.Located Across Sq1 Plaza,Minutes To Highway.Do Not Miss It!

GTA Housing Market Conditions Remain Healthy in September

GTA Housing Market Conditions Remain Healthy in September
October 5, 2010 -- Greater Toronto REALTORS® reported 6,310 sales through the Multiple Listing Service® (MLS®) in September 2010. This represented a 23 per cent decrease compared to the 8,196 sales recorded during the same period in 2009. Through the first nine months of the year, sales amounted to 69,069 – up four per cent compared to the first three quarters of 2009.

"The level of sales in the second half of 2010 has been lower, representing a balancing out period following record levels of sales in the latter half of 2009 and first few months of 2010. We remain on track for one of the best years in history for existing home transactions in the GTA," said Toronto Real Estate Board President Bill Johnston.

The average price for September transactions was $427,329– up five per cent compared to the average of $406,877 reported in September 2009. The average selling price through the first nine months of the year was $429,657.

"Resale homes in the GTA remain affordable," said Jason Mercer, TREB's Senior Manager of Market Analysis.

"It is important to consider the positive impact of declining mortgage rates over the past two decades. Simply considering home prices relative to incomes does not allow for an accurate analysis of affordability," continued Mercer. "The share of average household income going toward a mortgage payment on the average priced home in the GTA remains within accepted lending guidelines. This is why the average home selling price has continued to grow."

Median Price
In September, the median price was $360,325, from the $347,000 recorded during September of 2009.

what are differences between exclusive, owned and rented parking.

 When you buy your condo , parking or locker that comes with it can be owned, exclusive or rented. Owned parking means that you are purchasing a parking space with seperate deed. It is yours and you can sell it as you please. So if you buy a condo with two parkings and then you decided that you do not need one you can just put it on the market and sell it seperately to the unit. Exclusive use means that you are assigned a parking spot that is for your own and only use as long as you own condo condo. Rental parking means that there is no parking sold with the unit but it is sometimes available but for which you need to pay extra monthly fee.

Tax rebate for home owners, not investors

I have purchased a new condo that is scheduled to close in a few days and my lawyer has called requesting I indicate if I will be moving into the unit or if I am buying as an investment. I don’t see this being any of his business, or that of the builder, as I am buying it with my savings so there is no mortgage on the property. How should I respond to this inquiry?

The answer to the question is extremely important from a documentation perspective and in the end result, the amount you pay for the condo.

Built into almost all new condominium Agreements of Purchase and Sale is the provision that GST/HST is included in the purchase price. This is standard, and effectively lowers the actual value of your property at the time of registration. 

The federal government, in a move to spur new home and condo development, has instituted a tax break for purchasers of new builds whereby if the buyer is purchasing for themselves or for a close family member to live in the home, they offer a GST/HST rebate. This amounts to approximately 36 per cent of the applicable built-in tax. This rebate is not available to people who are purchasing new property as an investment, for whatever reason.

When you attend at your lawyer’s office to sign the documents for your new home, you have to swear a declaration in front of the staff member that you will occupy the premises. If you fail to occupy the residence after swearing to do so and you are caught by the Canada Revenue Agency, not only will you have to refund the tax rebate — which the builder claims on your behalf — but you could have criminal charges brought against you under the Canada Evidence Act.

It is a criminal offence to swear a declaration with a Commission of Oaths that is not true.
Therefore, you need to be quite clear and up front with your lawyer as to how you will take possession of your new home or condo.

Clearly, you are treading on thin ice if you think you can claim the rebate if you do not move into the property.

Source:
http://www.metronews.ca/toronto/comment/article/621236--tax-rebate-for-home-owners-not-investors

Just SOLD - 26 - 5050 Intrepid Drive

Buying new from the builder is not always a great idea.

I think that you should read this article if you are not sure whether to buy new new vs resale 

Undisclosed costs can really add up

It’s hard to think of any consumer purchase contract where the price on the front page is not the full purchase price, where additional charges are unlimited, and where the seller has no legal obligation to make full disclosure of extra charges to the buyer at the time of sale.

And yet this is a common practice among some Toronto-area condominium builders. It is an issue that cries out for the government to intervene in the public interest.

I was reminded of this problem once again last week while I was reviewing a client’s pre-construction purchase contract for a unit in a large mixed-use condominium development in downtown Toronto.

When I added up all the extra charges buried in the disclosure statement but not even hinted at in my client’s purchase agreement, the total came to just shy of a staggering $70,000.

The 33-page purchase and sale agreement for this project is typical for pre-construction condominium contracts. For a mere $935,3000, the buyer gets a floor plan without measurements or any guaranteed size, along with an obligation to pay a number of disclosed but unlimited charges such as government taxes and levies, and the costs of utility meters and connections. In order to discourage buyers — and their lawyers — from actually reading the contract, it is written in the tiniest type face possible. (No wonder I have to use trifocals after years of reading these contracts!)

But the $935,300 cost of the condo (plus the disclosed but unlimited extras) is far from the total tab the buyer has to pay.

Under the 1998 Condominium Act, at the time a purchase contract is signed, the builder is required to deliver to the purchaser a thick volume of materials which includes the proposed condominium organization documents and a disclosure statement setting out 27 specific details of the project.

Buried in the disclosure document is a statement setting out whether the unit buyers jointly will be required to purchase assets or services from the developer.

In my experience, the vast majority of buyers find these disclosure documents intimidating and incomprehensible and do not bother to read them.

In reviewing the disclosure statement for the new downtown project with my client last week, I pointed out that after the condominium project is registered, all of the unit owners as a group will be required to purchase from the developer:

 • Up to 6 guest suites at $200,000 plus HST each, or $1,356,000, plus 8 per cent interest over 10 years,

 • A superintendent unit for $565,000 including HST, plus 8 per cent interest over 10 years.

 • A recreation centre for an astonishing $11.3 million, repayable without interest over 10 years.

Including $860,000 in interest on the guest suites and superintendent’s unit, the unit owners as a group are on the hook to the developer for a total of slightly more than $14 million during the first 10 years of ownership.

My client’s share of the total cost works out to $69,560, or a hit of more than 7.4 per cent in addition to his purchase price.

None of these charges were disclosed in the sales office, so when I calculated it out for my client, he was in shock at the total amount of the costs.

In my experience, this project marks a new high — or low, depending on your viewpoint — in undisclosed extra charges for condominium buyers. It’s a situation which demands greater government protection for unsuspecting consumers.

And it’s also an issue which the members of the Building Industry and Land Development Association might want to tackle before the government does it for them.

Until the disclosure laws are changed, condominium buyers can protect themselves by taking several steps:

 • Ask about undisclosed charges in the sales office before signing anything.

 • Read the disclosure statement and especially Section 17 (about extra costs).

 • Above all, always have an experienced condominium lawyer review the purchase agreement and disclosure statement within the 10 day cancellation period after signing it.

Bob Aaron is a Toronto real estate lawyer.  He can be reached by email at bob@aaron.ca, phone 416-364-9366 or fax 416-364-3818.  Visit the column archives at http://aaron.ca/columns/toronto-star-index.htm for articles on this and other topics.