The Good, the Bad and the Ugly; how to navigate a Vancouver condo purchase

When I started selling real estate in 1995, condominiums were sprouting up like mushrooms.  It started in the late 80’s when the real estate market was hot and condominiums were all the rage. These things were being slapped up fast and by 1997 these buildings were already starting to have problems; thus, the leaky condo era. This was a messy time, huge special assessments were needed to do this new thing called “rain screening”.  It was common for buyers not to be able to afford a $60,000 assessment after putting 5% down on a $160,000 place. It wasn’t until 1999 when the government stepped in and implemented the building code that things started looking up.
 
Over the years I’ve learnt a couple things about what to look for; the importance of having a good realtor is that we think about the things you don’t. Just from hearing the year built I immediately know what could be wrong and how to avoid making a costly mistake. I thought I would share a glimpse of what goes through my head when helping a client purchase a condo in Vancouver (and the lower mainland) and had my trusted colleague, Wayne DeJong from Pillar To Post, confirm and elaborate. Wayne has been my go-to inspector since the 90’s, working together for my entire career and I am beyond confident with my trust in him. I know that he knows all about what to look for and has helped hundreds of my clients from getting into a costly situation. We discussed the main issues that we have seen throughout the years and broke it down by decade as that tends to be how buildings evolved.

70’s

In 1967 the strata act was formed, so the word strata was still brand new to people. As the demand for housing increased so did the popularity of condos.  These were generally well built with good materials and overhangs. Quality wasn’t an issue at this time; it wasn’t until land started going up that build started going down.
 
Today these buildings are over 40 years old and will need work as they will be suffering from old age. General maintenance of balconies, roof, boilers, aluminum wiring, parkade membranes, windows, etc. all these things need to be replaced over time. The life span on most products is 25 to 30 years so these buildings could very well be at the end of their second life. If the exterior has not been well maintained it could be showing wear and age and potentially need to be brought up to today’s code, which could be quite costly for you. 

80’s

The real estate market got its ass kicked in 1982 and all new developments were slowed down or stopped completely. It was Expo 86 that brought the world’s attention to Vancouver that resulted in a real estate boom and the build quality was just not there; it was only about getting it done. The building code change in 86 allowed for less overhang with a vapour barrier to make them airtight; condo’s started popping up everywhere in a new design taken from California using an acrylic stucco and sleek modern lines. So what was the problem? Water could get in but not get out.. they started to rot, fast.  Buildings that were only a few years old already needed major work done.
 
These buildings were also using polybutylene pipes which had problems with leaks, as well as thinner walled copper pipes that only lasted about 60% of the time. If a building had used them they would have had to replace once already and would now be close to needing their second replacement. 

90’s

1986 to 1999 is the run of the leaky condo period. All the issues from the 80’s boom of poor workmanship and materials started to really show themselves. Concrete buildings were being built with EIFIS (exterior insulated finishing system) which was Styrofoam backed stucco that became prone to mold and rust; it also couldn’t stand up to wind and windows became an issue. The building code began experimenting and updated in 98 with a transitionary rainscreen to have a drainage cavity hoping to fix the leaky issue, and in 1999 we saw a release of new building codes and standards. 

00’s

We basically had figured out the rainscreen issues and there started being more of a focus on energy efficiency with better insulation, which unfortunately led us to the “sick house syndrome”. Everything was so sealed off the air quality became very poor with no ventilation coupled with low quality materials. 

10’s to Now

The focus became on being energy efficient while also producing better air quality. Now we are seeing an increase in the complexity of the living space. Air conditioning, air ventilation, HVAC, smart homes, in floor radiant heating… the list goes on and on, there is a lot of wiring being used in homes and a lot to look out for. We are seeing more and more Passive Houses; recognized by the United Nations as the optimal way to build healthy, climate-resilient, affordable, and energy-efficient through all stages of design, construction, and livability.

So which one is right for you?

My preference is to buy a newer building as the materials and quality are only getting better. That said, sometimes it’s about location and a lot of the older buildings are in some of the best locations the city has to offer. Maybe you want to take on a project or plan on doing a lot of work yourself. 

Wayne agreed and added Never skip the inspection, this is something I can’t stress enough. Even if you are going into a multiple offer situation and are unable to get a pre-inspection getting one after the fact is incredibly beneficial. You might think ‘well what’s the point now?’ but you want to know what to focus on repair wise; it is an education and path to use moving forward. This could save you thousands, if not more, by knowing what to prioritize.”

Get an inspection, read the strata docs (especially engineers reports and depreciation reports), find out what kind of contingency fund the building has. As long as you know what you’re up against and have a plan of action going in any choice can be the right choice.  

To book an inspection with Wayne give them a call at 604-250-9263 or click here.

As always if you’d like to discuss further I’m always available for a chat!