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The Alberta Real Estate Board defines it as:

A Home Owners Association (HOA) is created by the developer of a community.  Functions vary, but many HOA’s monitor architectural guidelines or provide maintenance services for the amenities the municipality will not maintain.

More and more communities are beginning to adopt an HOA.  It is important to know if where you are buying will have an HOA because there is a fee that comes with it (Although normally quite nominal ~ $100/year).  Nevertheless, the best way to tell if a community has a HOA is to get your Realtor to pull title on the property you are interested in purchasing.  If there is one, there will be an encumbrance on the home listed right on the certificate.

I generally hear mixed reviews from clients with regard to having a Home Owners Association.  Communities with a HOA have higher aesthetic appeal due to the restrictive architectural guidelines.  However you could be subjected to uncontested fee increases and may need to seek approval for any additions/changes to your property.  Either way is important to have your Realtor do the research to determine how a HOA may or may effect you and your new home.

There are many different costs that buyers may incur when purchasing a home – property inspections, appraisals, legal fees and Real Estate transfer fees among others.  Well, as of July 1st, expect to see buyers costs rise as transfer fees are set to quadruple.

Currently, Alberta’s land transfer fees are among the lowest in Canada.  Presently sitting at about 0.02% of the cost of the purchase, fees are now set to rise to 0.12%.  So how much extra can you expect to pay?

Assuming a $500,000 home with a $400,000 mortgage:

Land title registration:

Prior to July 1st 2015 – $150                    After July 1st 2015 – $675

Mortgage Registration;

Prior to July 1st 2015 – $130                    After July 1st 2015 – $555

So, an average home purchase in the city of Edmonton after July 1st 2015 will cost about $1230 in registration fees – almost $1000 more than it was previously.  Not that it makes it an easier pill to swallow, but even with this substantial hike, Albertas fees still remain significantly lower than other big markets such as Vancouver and Toronto.

So if you were thinking of buying a home in the near future it might be a good idea to start looking.  A closing date of June.30 or earlier will save you $1000.

When taking possession of your new home/condo, you usually have some ideas on how to make it your own.  This could be anything from changing some light fixtures, repainting or even entire kitchen renovations.  If you live in a condo, it is important to know what you can and cant do before tearing walls apart.

Now every condo board is slightly different in how they deal with this, so it is important to thoroughly read through the condo bylaws as well as talk to the Board of Directors to get an understanding of the process your condo conforms to.   More often than not you will need written permission from the Board before proceeding.

Most bylaws will include a clause along the following lines:

“owners shall not make structural, mechanical or electrical alterations to the owners unit or to the common property without the prior written consent of the board”.

If a renovation is done improperly or doesn’t have the approval of the Board, the condo corporation has the authority to charge back all costs associated with returning the condo to its original state.

As an example – some things that are generally considered just decorative and don’t need board approval may include painting and changing light fixtures.  Others that are generally assumed to be renovations and thus need approval may include bathroom vanity replacement, electrical upgrades and hardwood flooring installation.

It is important to stress that every condo corporation has slightly different bylaws and procedures when it comes to renovations, so it is imperative you inquire and do the necessary research before proceeding.