Real Property Report

[mjt]

Hello all,
Wondering if someone can help me here, and thank you in advance.

I am in the process of buying my first house with my (new) wife and it is a 'Bare Land Condo' Townhouse project by a reputed builder in Calgary.
I do not necessarily understand all the ins and outs of a bare land condo vs. the other types but something that I have read on the internet is the requirement to have a "Real Property Report" for the townhouse.

Is anyone here aware if that is something that is generally required for a new condo or only resale? Should I be expecting the builder to provide me one of these and paying for it?

Thanks again for any help you can provide.

[morgin]

Originally Posted by mjt

Hello all,
Wondering if someone can help me here, and thank you in advance.

I am in the process of buying my first house with my (new) wife and it is a 'Bare Land Condo' Townhouse project by a reputed builder in Calgary.
I do not necessarily understand all the ins and outs of a bare land condo vs. the other types but something that I have read on the internet is the requirement to have a "Real Property Report" for the townhouse.

Is anyone here aware if that is something that is generally required for a new condo or only resale? Should I be expecting the builder to provide me one of these and paying for it?

Thanks again for any help you can provide.

While I'm sure people with more experience can provide more complete answers, the AREA Condominium Purchase Contract (relevant for a resale of the unit) does have a requirement for an RPR. However, you are unlikely to get one from the Developer on a first sale (and it's likely they do not use the AREA form of condo purchase contract - likely have their own). Keep that in mind if you are going to resell.

[newts]

Bareland condo's, in most cases, are pretty much the same as single family, only you pay a condo fee to manage things like lawn maintenance, snow removal etc. You should receive an RPR, like you would with any other single family home purchase.

Most people who purchase new end up adding improvements to the property anyway (decks, fences) so you'd have to pay for an update when you sell, which isn't much less that getting a new report anyway.

[troutman]

It depends on the builder (check your contract), whether they provide you an RPR. Some do. Your lender may require an RPR, and you would have to provide a current/compliant RPR to a future buyer. A new RPR costs about $500.

[morgin]

Originally Posted by troutman

It depends on the builder (check your contract), whether they provide you an RPR. Some do.

Are you seeing more or less these days? I was kind of under the assumption most builders/developers are not supplying the RPR anymore.

[onetwo_threefour]

Most builders are providing the RPR on a single family whether the contract says so or not. With Bareland's it seems more hit or miss.

[mjt]

Thanks all! I'll attempt to 'ask' them for one. My offer goes firm in 2 days, after the 10 day rescission period.
Interesting about the bare land condo, I was flipping through a friends contract of what seemed to be a conventional condo (Cardel Panorama) and it clearly says that Builder will provide RPR.
I guess I'll try!
Again, thanks all for the answers.

[Wormius]

Would the City or the home builder have a copy of the RPR? We are not the original home owner, and didn't get a copy of the RPR. Was hoping to save $500 if possible.

[Travis Munroe]

you won't be able to get one from either. A rpr is required in the sale of a property unless its been crossed out of the purchase contract (foreclosures do this)
Your going to have to get a new one. You can always wait until you sell but run the risk of finding out about encroachments later than sooner.

[onetwo_threefour]

Originally Posted by Wormius

Would the City or the home builder have a copy of the RPR? We are not the original home owner, and didn't get a copy of the RPR. Was hoping to save $500 if possible.

You could try calling the lawyer who acted for you when you bought. They may have a copy of the RPR and it just never got to you. Sometimes the RPR is sent out after closing with a bundle of other documents, but sometimes it is delayed and goes out by itself, so it may have gotten lost.

We have always kept a photocopy on our file as long as one is provided as part of the transaction. We recently adopted a practice of scanning all real property reports coming through the office to build up our own database as well.

[troutman]

Originally Posted by onetwo_threefour

We have always kept a photocopy on our file as long as one is provided as part of the transaction. We recently adopted a practice of scanning all real property reports coming through the office to build up our own database as well.

+1.

This is our practice too.

Sometimes the seller's lawyer will have a copy on file too in storage, for a small retrieval fee.

If you are planning to add something to the property, like a deck or fence, I would delay getting a new Rpr until you sell. The cost of updating an old Rpr is a bit less than a new one.

[zarrell]

I sold my place in turner valley that I built myself in 2007. Now of course one of the conditions of the sale is an rpr that I need to provide. I've been trying to find out from the town office if they have anything on file from the surveyors that they have stamped. If they don't I will need someone to do one up by the end of the week. Anyone know someone that would be able to pull this off?

[troutman]

It's not the Town's responsibility to keep RPRs on file for Vendors.

Some surveyors can prepare an RPR quite quickly, but then it still has to be viewed by the Town.

Not to worry, your lawyer can still close your sale on his undertaking to hold back some funds until the RPR is compliant.

[Travis Munroe]

Rpr can be rushed in I believe 48 hours. Be prepared to pay a heavy premium. Then head down to the city to get a compliance stamp! It's do able but a good amount of work and $

[onetwo_threefour]

Originally Posted by troutman

It's not the Town's responsibility to keep RPRs on file for Vendors.

Some surveyors can prepare an RPR quite quickly, but then it still has to be viewed by the Town.

Not to worry, your lawyer can still close your sale on his undertaking to hold back some funds until the RPR is compliant.

Assuming you can still actually get the updated RPR done before closing date.

If you're dealing with a firm that you takes the position that without an old or current RPR to at least review it is too risky to close with holdbacks, especially where no RPR has been done since the house was built, closing may be delayed until you at lest have the RPR in your hands.

(Actually a fairly common position for a buyer's lawyer to take)

Sometimes you have to decide if a rush RPR is cheaper than title insurance plus the RPR especially if a protocol closing isn't not possible for some reason. If the rush charge is more than about $200, it may be cheaper to order title insurance and wait for the standard RPR. Your lawyer should be able to help with the decision.

[troutman]

Those firms are jerks.

[zarrell]

Was able to to get the original surveyors that did my house to do the RPR. Should have it by Friday and cost 750. Not bad considering its rushed and out of town.