Condo Home Inspection: Everything Buyers Need To Know
Condos are the new hot sellers in the real estate marketplace. So much so that Palm Beach realtors are reporting a 5% increase in condo sales in 2023 alone.
In fact, be it a first-time buyer or a multiple-property owner, condos are preferred by everyone.
And this is for obvious reasons, as from increased affordability to lower maintenance to a convenient location to a sense of community, condos have it all.
But a million-dollar question that all buyers have on their minds is, ‘Do I need to conduct a condo home inspection?’
After all, homeowners’ associations also have their share of obligation for inspections, and they charge you for it through maintenance charges.
Simply put, you’ll need to conduct a home inspection for condo interiors, as it’s not the HOA’s responsibility. Also, before you buy a condo, it’s a wise move to get it inspected in order to safeguard your investment.
Wondering what’s more to condo inspections?
Well. I’ve compiled a thorough inspection guide for condo buyers, answering all the questions that you might have, along with my insider tips for a sound investment.
So let’s dive right in and have a look up close.
What is a condo home inspection?
Before we get into the details of condo inspections, it’s essential you understand what a home inspection for a condominium exactly is.
For starters, a condo inspection is similar to a single-family home inspection, where a licensed inspector examines various aspects of the home building. This includes walls, ceilings, plumbing lines, electrical systems, HVACs, and more.
The idea is to gain a thorough understanding of your building’s critical systems and detect any potential problems that might be lurking.
However, unlike a conventional home inspection, condo inspections examine only those areas that are within the walls of your unit. That’s because the HOA is responsible for inspecting all other things that lie outside your condo unit’s walls.
For instance, while it is your responsibility to get the interiors of your condo assessed, the structural systems, building foundation, exterior walls, etc., are inspected at the HOA’s expense.
Do you need a home inspection for condo units before buying?
A home inspection isn’t required before purchasing a condo unit. Nevertheless, I always suggest homebuyers get a complete inspection as it will ensure they’re investing in the right property.
You see, the fact that homeowners’ associations cover a large portion of inspection requirements makes buyers assume that they don’t need a pre-purchase assessment.
Moreover, the seller or existing owner might even offer you a lucrative deal in return for not utilizing an inspection contingency clause.
But it is in your best interest not to fall for such assumptions and offers and get the condo inspected. That’s because even though the HOA ensures periodic exterior inspections and repairs, the interior condo walls can still have some major problems.
For instance, a lot of condominium units that I’ve inspected looked in tip-top shape from the outside but had significant issues such as faulty electrical wirings, mold-affected walls, etc.
As such, a third-party condominium home inspection can go a long way in helping you purchase the right home.
Condo Inspection for Housing Loan
Looking to finance your new condo?
If yes, you might well need a complete condominium inspection before the lenders approve your loan application. And that’s especially true for government-sponsored programs such as FHA loans.
To learn more, you can go through our blog – Do Lenders Require A Home Inspection?
What do home inspectors look for during a condominium inspection?
As we discussed earlier, a condominium inspection looks at every aspect of your condo unit’s inner walls. This includes everything from walls to flooring to ceiling to fire safety systems and more.
Now, there are two types of condo inspections that both condo buyers and existing owners can get, namely interior only and full inspections. And the areas that the inspector will assess will depend on the type of inspection that you opt for.
Here’s what both condo home inspections cover:
#1. Interior-only condo inspection
Like the name suggests, an interior-only inspection looks at all things within the walls of your condo unit.
For instance, while conducting an interior-only condo inspection, I closely examine the build quality and existing condition of walls, the functionality of HVACs, plumbing conditions, etc., to name a few.
Herein, my goal is to give you a complete picture of the condo’s existing condition from the inside, including defects and maintenance requirements.
In all, here’s a complete list of items that an interior-only condo inspection examines:
- Interior wall examination for signs of cracks or damage.
- Complete plumbing inspection to detect water flow issues and water-induced damage.
- Functioning of fire safety systems, including smoke and fire alarms.
- Close-up analysis of doors, windows, ceiling, and flooring.
- Assessment of the overall HVAC system (including those that extend outside the inner walls).
- Electrical system analysis for proper functionality and safety compliance.
- Inspection of household appliances such as water heaters, furnaces, etc.
- Detection of potential damage to the patio.
- An evaluation of the quality of previous repairs.
#2. Full condo inspection
A full condo inspection includes everything that an interior-only assessment covers, plus an inspection of certain areas outside the condo unit. This includes shared spaces in the building and the areas attached to your unit.
For instance, I include the following areas in my inspection plan while conducting a full condo inspection:
- Basements, parking areas, and other shared areas, especially if they’re close to your condo unit.
- The crawl space and attic attached to the unit to ensure there are no visible defects and a firewall is installed.
Pro tip: A full home inspection for condo is worth every penny
Full inspections for condominiums are slightly more expensive than interior-only inspections. But when it comes to making a sound investment, the former is totally worth the cost.
Wondering why?
Well, firstly, a full inspection along with relevant HOA documentation will provide you with a clear understanding of the condo building’s overall condition. This will, in turn, allow you to decide whether or not you should purchase a condo unit in that building.
Second, even though inspecting exterior spaces is the HOA’s responsibility, it’s the condo unit owners who foot the bills in the form of maintenance and reserve costs. This means the more potential issues there are in the building, the higher your regular maintenance charges will be.
What is a condo home inspection checklist?
A condominium inspection checklist is a list of all the areas that you should get inspected before purchasing a unit.
You see, although inspections cover all the critical aspects of condo homes, even the most seasoned inspector can make human errors and miss certain areas. So, by having an inspection checklist handy, you can ensure that everything that’s important gets inspected and nothing is left to chance.
Curious as to what a condominium inspection checklist looks like?
Here’s a checklist that I keep with myself while inspecting condo units:
- Walls, floors, and ceiling
- Doors and windows
- Water pressure and overall plumbing
- Electrical systems
- Fire systems
- HVAC systems
- Caulking in wet spaces, including bathroom and kitchen
- Attic and crawl spaces
How much does a home inspection for condominium units cost?
The cost of home inspection for condo units, on average, ranges between $250 and $350.
However, the actual amount that you might end up paying for one such inspection will vary significantly. That’s because the cost of condo inspection is determined by a range of factors, including the property’s location, unit size, inspection type, date of last inspection, and more.
For instance, a medium-sized condo inspection in Bradenton will cost you on the lower end of the average. But you can expect to pay upward of $350 to get a similar condo inspected in Miami-Dade County.
What else should you do apart from condo home inspection?
When it comes to making the right investment decisions, a complete condominium inspection is only one step in the right direction. That’s because although these inspections provide thorough insights into the condition of the condo unit, there’s still a lot that you need to know about the overall condition of the building.
Here’s some essential information that you should seek from the HOA and analyze before purchasing a condo unit:
#1. HOA or condo reserve study report
The latest Florida state laws for condo associations require HOAs to conduct a structural integrity reserve study. This involves an exterior inspection of the areas that the HOA is responsible for maintaining, as well as the reserve funds that the association has for such maintenance.
By analyzing the reserve study report, you’ll gain a detailed idea about the condition of the building and the amount of funds the HOA has for essential repairs. Also, this will allow you to estimate the maintenance expenses that you can expect to pay as a homeowner.
For instance, if an HOA is low on reserve funds, but the building calls for extensive repairs, you should be prepared to foot larger maintenance bills.
#2. Take into account the HOA’s funding
Some HOAs might advertise low maintenance charges as their major selling points. But as lucrative as it seems, it can also be a red flag, especially if the association is low on critical reserve funds.
That’s because HOA needs sufficient funds to meet its inspection and maintenance obligations. And if they’re low on funds and still collecting minimal maintenance charges, it’s a sign that you’re investing in a huge liability.
#3. Important condo documents
Apart from the reserve study report and finances, you should also ask for HOA documents, such as the minutes of previous association meetings.
Important building issues, such as existing problems or defects, maintenance requirements, etc., are accessed by HOA members during these meetings. So, by assessing the minutes, you can get to know about all such issues as well as potential red flags.
Furthermore, you can ask the HOA for proof of such problems being resolved before buying a condo unit.
Wondering what are the signs that you should not buy a condo home?
You can read our blog – When To Walk Away After Home Inspection?
Get a Thorough Home Inspection Plan and an Estimated Project Cost for Free!
Conclusion
As you can see, a condo home inspection is a prerequisite before you purchase a unit despite being non-mandatory. After all, from ensuring that you’re buying the right condo unit to guaranteeing your overall safety and well-being, condo inspections go a long way in protecting your interests.
Not to mention, an experienced condominium inspector can also walk you through the possible future risks, even if the condo unit and the building are in good shape.
Looking for one such pre-purchase condominium inspection?
You can get in touch with us!
At Homestead Property Inspections, we’re Florida’s seasoned condo inspection experts with over a decade of expertise under our belt. And we go over and above regular inspections to walk you through the property’s existing conditions.
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