Condo fees: undisclosed costs can really add up
When it comes to condos, buyers need to balance getting in early — which sometimes means a better price — and plunking down a deposit on a building plagued by poor construction, shaky financing or hiddden fees.
It’s hard to think of any 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, says Toronto real estate lawyer Bob Aaron.
When he added up all the extra charges buried in the disclosure statement but not even hinted at in his client’s purchase agreement, the total came to just shy of a staggering $70,000, he reports on the Move Smartly blog.
For instance, it’s become common practice in Toronto and other major cities for some developers to require condominium purchasers in each building to contribute to the costs of guest suites, superintendent’s units, carwash bays, car share units and similar amenities.