Common Buyer Conditions
Chances are, your offer, which was just accepted by the sellers, is conditional to financing and home inspection. These 2 conditions are very common and highly recommended to protect your best interests in the purchase.
Even though you are already formally pre-approved for a mortgage, the financing condition is a formality but still needs to be included as a condition in your offer for the following reasons:
- Unless you have put more than 20% down, you will need to get CMHC approval
- The bank will not release the financing until they have performed a building appraisal
The home inspection condition is also vital – hiring a professional home inspector (NOT Uncle Bob) is not only a part of the condition but will greatly contribute to your comfort. Hiring the right inspector will give you peace of mind but also guard your wallet! A proper inspection will cover all areas of the house, both structurally and mechanically, and give you an objective view of the state of the property. A qualified home inspector will provide you with a written report indicating areas of concern and the estimated cost of repair.
One more condition I want to mention for my condo buyers is the condominium document review condition. The seller will provide you the complete list of documents agreed to in the offer to purchase and I will make sure you aren’t missing anything. As the information can be 1000’s of pages and include financial information of importance to you, having a professional condo document review performed by a qualified professional is recommended.