Q1.How are the property taxes assessed? Are they based on last year?s taxes or are they adjusted for any improvements that Equity Builders makes to the building?
A1. The value of the property is assessed by MPAC. Once the value is determined the city applies the mill rate to calculate the annual property tax bill.
Q2. Do I get to choose which unit within the property I purchase?
A2. Yes, you choose the unit you purchase. Selections are made on a first come first serve basis. The Vacancy Repair Fund makes the choice of units less critical since it ensures that all units will be brought to Equity Builders standard condition, regardless of its current condition.
Q3. Can I view the property and my unit before I buy it?
A3. Equity Builders holds an open house of each property they sell to investors. This allows investors to inspect the building, however, in order to minimize the disturbance to the current tenants, only a random sample of units are open to investors for inspection. This may or may not include the specific unit you are interested in purchasing.
Q4. Do I need to obtain insurance coverage for my investment?
A4. The condominium carries the necessary insurance to protect itself. We recommend that the investor purchase additional insurance to cover liability, chattels, upgrades and rental loss due to fire, flood, etc.
Q5. Can I view the engineering report for the building and the appraisal report for my unit?
A5. The building engineering report and the appraisals of some of the units are available to investors for their review.
Q6. How is the purchase price of each unit determined?
A6. An independent property appraiser evaluates each unit. The appraisals are made available to the investors for review. This ensures that the purchase price of each unit is set to an objective and fair price that is in line with current market conditions.
Q7. How is the estimated rent collection numbers derived?
A7. The rent collection numbers are an average based on the actual rent roll.
Q8. Do I have to use the mortgage broker and/or lawyer provided by Equity Builders?
A8. No, you do not have to use the mortgage broker or the lawyer provided by Equity Builders. The benefit to using the lawyer provided by Equity Builders is that it is more efficient for the project as a whole to deal with one firm. Investors also benefit financially as Equity Builders has negotiated a discounted rate with the firm.
Q9. What does the Vacancy Repair fund cover?
A9. The Vacancy/ Repair Fund covers any general repairs and maintenance to your suite up to $1,000.00 per year. As an added feature, Equity Builders will cover any cost over the $1,000.00 capped rate, for a period of one year from your closing date.
Q10. Can we get the lease terms of the tenants for each unit?
A10. Yes, the lease terms of your tenant can be provided.
Q11. When will I receive my closing docs?
A11. All closing documents will be received within 45 days of your closing date. An Equity Builder package will be provided to you with all pertinent information regarding the sale. If there are any delays pls contact our customer services department.
