What conditions should you include when buying a home?
Buying your first home is exciting! But it also comes with some important decisions that can protect you financially and legally. One of the biggest is deciding which conditions to include in your offer.
Conditions give you time to do your due diligence before the deal becomes firm (legally binding). While every situation is different, here are the most common (and important) conditions to consider.
🏡 For Freehold Homes (Houses)
Financing Condition
This is one of the most important conditions, especially for first-time buyers.
A financing condition gives you time to confirm your mortgage with your lender. Even if you’re pre-approved, lenders will still need to review the specific property before fully approving your loan.
Why it matters:
Protects you if the lender declines the property
Ensures the home appraises at the purchase price
Gives you time to finalize terms with your bank or broker
Without this condition, you could be at risk of losing your deposit if financing falls through.
Home Inspection Condition
A home inspection allows you to bring in a professional to assess the property’s condition.
They’ll look at things like:
Roof, foundation, and structure
Electrical, plumbing and HVAC systems
Appliances
Signs of water damage or other issues
Why it matters:
Helps uncover hidden problems
Gives you leverage to renegotiate or walk away
Provides peace of mind before making a major investment
Skipping an inspection can be risky, especially with older homes.
🏢 For Condos
Condos are a bit different, because you’re not just buying a unit - you’re also buying into a corporation.
Financing Condition
Just like with houses, this is key.
Lenders will look at both your finances and the building itself. Some buildings may not meet lending criteria, which makes this condition especially important for condo buyers.
Status Certificate Review (by a Lawyer)
This is arguably the most important condition for condos.
A status certificate is a package of documents that outlines the financial and legal health of the condo corporation. Your lawyer will review it during the conditional period.
It includes details like:
Reserve fund status
Monthly maintenance fees (and what they include)
Any upcoming special assessments
Legal issues involving the building
Rules and bylaws
Why it matters:
Helps you avoid unexpected costs
Ensures the building is financially stable
Flags any legal or structural concerns
Home Inspection (Optional, but Recommended)
Many buyers choose to skip a home inspection for condos—but that doesn’t mean you have to.
While you’re not responsible for the building itself, an inspection can still check:
Appliances
Plumbing within the unit
HVAC systems (if applicable)
General condition of the interior
Bottom line: It’s not always necessary, but it can provide extra peace of mind, especially in older units.
Final Thoughts
Conditions are there to protect you. In competitive markets, you may feel pressure to waive them, but doing so comes with real risks. It’s important to understand the implications before removing or waiving them.
The right strategy depends on the property, the market, and your comfort level. That’s where having the right guidance makes all the difference.
If you’re thinking about buying your first home and want to understand your options, feel free to reach out! I’m happy to help you navigate it with confidence.
