Buying an Older Condo: What Should You Look For?

Older condos can offer some real advantages for buyers.

They often have larger floor plans, more generous room sizes and established neighbourhoods, and in some cases they can offer considerably more space for the money than newer construction.

But buying an older condo also means taking a closer look at the building itself.

The age on the front of the building isn't necessarily what determines whether it's a good purchase. What's more important is how the property has been maintained, what major work has already been completed and what may need attention in the years ahead.

Here are some of the things we recommend buyers investigate when considering an older condo.

Start With the Building's Maintenance History

A 30- or 40-year-old building that has been proactively maintained can tell a very different story from a similar-aged building where major repairs have continually been postponed.

We want to understand what work has already been completed.

Depending on the building, that might include:

• Roof replacement

• Re-piping or plumbing upgrades

• Window replacement

• Building-envelope work

• Balcony repairs

• Elevator modernization

• Parkade repairs

• Boiler or mechanical upgrades

• Electrical improvements

Major work that's already been completed can potentially reduce some future uncertainty, although buyers should still investigate the condition of the building as a whole.

Review the Depreciation Report

The strata's depreciation report can be especially useful when evaluating an older building.

It provides a longer-term assessment of major common-property components and estimates when repairs or replacement may be required.

Don't assume that an item approaching the end of its estimated useful life means it must immediately be replaced.

A depreciation report is a planning tool, and actual timing will depend on the condition of the component, maintenance and decisions made by the strata corporation.

What we're particularly interested in is how the depreciation report compares with what's happening in the building today.

Read the Strata Minutes

Meeting minutes can help fill in the story.

We look for discussions about recurring maintenance issues, engineering reports, major projects, quotes, insurance claims and possible special levies.

Patterns can be particularly important.

One water leak doesn't necessarily indicate a building-wide problem. Repeated discussions about leaks in different areas of the building over an extended period may deserve a closer look.

The minutes can also tell you whether council appears to be addressing problems proactively or continually postponing them.

Pay Attention to the Plumbing

Plumbing is an important consideration in many older condo buildings.

Depending on the age and construction of the property, original piping may eventually require significant repair or replacement.

If plumbing work has already been completed, find out what was replaced and when.

Terms such as “re-piped” can sometimes sound more comprehensive than the work actually performed, so it's worth understanding the scope of the project rather than relying solely on a description.

Look at the Building Envelope and Windows

Exterior walls, balconies, windows and other building-envelope components can represent significant expenses in some strata properties.

We want to know whether major exterior work has previously been completed and whether there are any ongoing concerns.

Again, context matters.

The fact that an older building has undergone substantial exterior repairs isn't automatically negative. If the work was properly completed, it may mean a major building component has already been addressed.

Check the Roof

Roofs don't last forever, but an older roof doesn't necessarily mean an immediate expense is coming.

Find out when it was last replaced, what type of roofing system was installed and whether recent inspections or repairs have been discussed.

Then compare that information with the depreciation report and meeting minutes.

Elevators Can Be Expensive

In an older high-rise, elevators are another major component worth investigating.

Modernization or replacement can be a significant project.

Look for information about previous upgrades, ongoing maintenance issues and any planned modernization identified in the depreciation report or meeting minutes.

Look at the Contingency Reserve Fund

Maintenance history tells us what's been done.

The Contingency Reserve Fund (CRF) can help us understand how prepared the strata may be for what's coming next.

A large reserve fund doesn't automatically mean a building is financially healthy, just as a smaller reserve doesn't automatically make a building a bad purchase.

We need to compare the available funds with the building's anticipated expenses.

For example, $1 million in reserves might sound substantial until you discover the strata is considering several multimillion-dollar projects.

It's the bigger financial picture that matters.

Watch for Special Levies

Check whether any special levies have already been approved and whether there are discussions about projects that could potentially require one.

Sometimes the documents will clearly identify an upcoming levy.

Other times, the clues are less obvious — perhaps council has commissioned an engineering report, obtained quotes or begun discussing funding options.

That doesn't mean a levy will necessarily happen, but it's information a buyer should understand before purchasing.

Don't Forget the Individual Unit

The building is important, but you still need to evaluate the condo itself.

With an older unit, consider items such as:

• Electrical systems

• Plumbing fixtures

• Appliances

• Flooring

• Windows and doors

• Heating systems

• Signs of previous water damage

• Renovation history

If the unit has been renovated, it's also worth determining whether renovations requiring strata approval were properly authorized.

A professional home inspection may help identify issues within the unit that aren't apparent during a regular showing.

Understand the Bylaws

Older buildings can sometimes have bylaws that differ considerably from those in newer developments.

If pets, renovations, parking, storage or another particular issue is important to you, review the current bylaws rather than making assumptions.

You'll also want to confirm the parking stall and storage locker associated with the unit and understand whether they're part of the strata lot, limited common property or allocated in another way.

Older Doesn't Automatically Mean Riskier

This is probably the biggest takeaway.

Don't judge a condo solely by the year it was built.

An older building that has replaced its roof, upgraded its plumbing, maintained its exterior and properly planned for future expenses may be in a very different position from another building of exactly the same age.

Likewise, newer doesn't automatically mean problem-free.

The better question isn't simply:

“How old is the building?”

It's:

“What's been done, how has the building been maintained, and what's likely coming next?”

Buying an Older Condo in Burnaby?

Burnaby has many established condo communities where older buildings can offer larger homes, mature landscaping and convenient locations.

The key is understanding what you're buying beyond the individual unit.

When working with condo buyers, Team Keenan Neilly helps review the available strata documents, building history and financial information so our clients can identify potential concerns and make a more informed decision.

If you're considering an older condo in Burnaby or elsewhere in the Lower Mainland, contact Kelly Huber for experienced, straightforward real estate advice.