4 Things You MUST Know Before Buying an Edmonton Condo

Amid the city's robust and ever-changing real estate market, condos in Edmonton remain one of the most popular property types. Condominiums are highly adaptable and cater to many buyers' wants and needs. For the first-time buyer, they offer an affordable entry point to homeownership. Luxury real estate buyers, on the other hand, can find glitzy penthouses showcasing Edmonton’s best views. 

Additional advantages of condo ownership include fewer maintenance responsibilities, convenient inner-city locations, and on-site amenities. Consider these essential factors before purchasing your dream condo in Edmonton. 

How Is Buying a Condo Different From Buying a House in Edmonton?

Buying a condo in Edmonton is different from purchasing a single-family home. The general process of making a down payment and applying for a mortgage will be similar. Still, there are three differences to be aware of before buying: price, ownership, and insurance. 

Generally, condos cost less than single-family homes because they're smaller, and the owner is not technically paying for the land. The average condo prices vary dramatically, but even the most expensive condos in Edmonton are cheaper than the highest-priced single-family homes. 

The next significant difference is ownership. According to Alberta's Condominium Property Act, when you buy a condo, you privately own your individual unit. However, you share ownership of the collective property. The joint owners then appoint a condo board to create a budget and collect fees from the other owners to maintain shared spaces, including amenities, structural elements, parking areas, and other mutually owned components.

The standard condominium owner arrangement also affects insurance considerations. The condo community will have a master insurance plan covering all the common elements. Before buying a condo in Edmonton, you must review the community bylaws to understand what is and isn't covered by the master insurance plan. Then, you'll need to get private insurance that protects your unit, possessions, and liability. As a condo owner in Alberta, you are not legally required to have insurance for your specific unit, but almost all lenders and condo boards will require it before approving your purchase.

What Are Condo Fees?

Condominium fees are crucial financial considerations for any potential buyer. These fees are regularly assessed payments made by owners to the condominium association or board, and they fund the upkeep of common areas, amenities, and the exterior of the condo building. When making your condo buying budget, you should know these fees are required in addition to your mortgage. 

Condo fees can vary widely based on factors such as the unit's size, the building's age, the amenities offered, and the cost of ongoing maintenance. In the city of Edmonton, condo fees are reported to range from anywhere between $400 a month and $1,000 a month. However, all condo fees are subject to change if the owners agree to it in a vote. 

To avoid unexpected increases in condo fees, the Condominium Property Act requires all condo corporations to maintain a transparent reserve fund. These funds are withheld from the standard operating budget to address emergency maintenance. A reserve study, a special inspection conducted by a qualified professional, determines the amount held in the fund. All condo buyers should inquire about the reserve fund. If the community has recently depleted its reserve fund, condo fees may be more likely to increase.

Where Are the Best Places to Buy a Condo in Edmonton?

Choosing the right location is one of the most important (and fun!) aspects of buying a condo. While downtown Edmonton has the largest concentration of condos, you can still find them peppered throughout nearly every neighbourhood in the city, providing a diverse range of options for potential buyers.

When selecting the right location, think about how it aligns with your lifestyle needs and preferences. For instance, consider your daily commute. Proximity to Edmonton’s public transportation or main roads could be crucial if you work outside the area. 

The local amenities should also play a crucial role in your decision-making process. Are there grocery stores, restaurants, and shops within walking distance? If you're a fan of nightlife, you may enjoy being closer to downtown's bustling entertainment scene. If you prefer quieter surroundings, a condo in one of Edmonton's more residential neighbourhoods might be more your speed.

Here are a few of the most popular condo communities in each section of Edmonton.

• Downtown: SKY Residences at ICE District, Illuminada, and The Icon
• West Edmonton: The Vanier, Crescent Place, and St. Lawrence Place
• North Edmonton: The Brigades of Griesbach, Northshire Gardens, and Carlton Villas on the Lake
• East Edmonton: WaterSide Estates, Trinity Pointe, and The Conservatory
• South Edmonton: Brownstone Lofts, Scona Gardens, and Century Park

Is a Condo in Edmonton a Good Investment?

Are condos a good investment? That depends. Like all investments, there are no guarantees, but a carefully researched, well-informed condo purchase can be valuable. 

A common critique against investing in a condo over a house is they typically appreciate more slowly than single-family homes. However, this shouldn't immediately discount condos as a worthy investment. 

For example, condos make excellent rental properties. The lower initial cost and manageable maintenance responsibilities make them an appealing option for first-time landlords. Additionally, the lower purchase keeps your overhead expenses lower, making them a valuable part of a diverse investment strategy.

Are You Ready to Buy an Edmonton Condo?

Condos in Edmonton present a unique and accessible path to homeownership. Whether you're a first-time buyer seeking a cost-effective entry into the housing market or a seasoned investor hunting for your next rental property opportunity, understanding the intricacies of condo ownership is crucial. Embrace the journey, and you may find that an Edmonton condo is your ideal home or investment.