Take the Confusion Out of CC&Rs
One of the most confusing aspects of purchasing real estate is the CC and Rs (Covenants, Conditions & Restrictions) vital for condominium purchases.
Herein lies a familiar story.
The Question: When purchasing a condominium/ townhouse, why is it important to fully review the CC&R's? The Scenario: Gillian is a self-employed single woman who was looking to buy a condominium/ townhouse; she was pre-approved and had a 10% down payment.
Gillian looked in the area she wanted and found a beautiful townhouse; it was her dream home.
Her offer was accepted and she obtained copies of the CC&R's (Covenants, Conditions & Restrictions).
Her agent strongly advised Gillian to read them thoroughly; CC&RS are usually extensive and include the annual budget, meeting minutes and various rules and regulations.
Her agent offered to review them with her.
Gillian stated that she was busy and would review them by herself.
After the allotted 10- day period to review these documents, Gillian said there were no issues of concern and that all was well.
Three months after Close Of Escrow, Gillian informed her agent that a $5,000 assessment was effective at year's end.
She was shocked! Gillian finally admitted she had only skimmed the documents.
The Solution: Had Gillian taken the time to review the minutes as well as the other documents, she would have been better prepared for this and other assessments.
In the future, if you are buying property remember this: If you are purchasing a condo and your agent offers to review any documents, please take their advice.
That's what they are there for.
Condo purchasing is as easy as you allow it to be.
With help from a qualified real estate agent, this purchase could have been less confusing and less expensive.
Herein lies a familiar story.
The Question: When purchasing a condominium/ townhouse, why is it important to fully review the CC&R's? The Scenario: Gillian is a self-employed single woman who was looking to buy a condominium/ townhouse; she was pre-approved and had a 10% down payment.
Gillian looked in the area she wanted and found a beautiful townhouse; it was her dream home.
Her offer was accepted and she obtained copies of the CC&R's (Covenants, Conditions & Restrictions).
Her agent strongly advised Gillian to read them thoroughly; CC&RS are usually extensive and include the annual budget, meeting minutes and various rules and regulations.
Her agent offered to review them with her.
Gillian stated that she was busy and would review them by herself.
After the allotted 10- day period to review these documents, Gillian said there were no issues of concern and that all was well.
Three months after Close Of Escrow, Gillian informed her agent that a $5,000 assessment was effective at year's end.
She was shocked! Gillian finally admitted she had only skimmed the documents.
The Solution: Had Gillian taken the time to review the minutes as well as the other documents, she would have been better prepared for this and other assessments.
In the future, if you are buying property remember this: If you are purchasing a condo and your agent offers to review any documents, please take their advice.
That's what they are there for.
Condo purchasing is as easy as you allow it to be.
With help from a qualified real estate agent, this purchase could have been less confusing and less expensive.
