What exactly is included in the purchase price of a home sale?
by Geraldine Santiago
When you are buying your first home, typically, the purchase price includes all the fixtures on the property. Many buyers overlook that they are buying the fixtures which include all the window treatments, rods, draperies, blinds, window curtains, all the appliances such as the dishwasher, washer and dryer and all things that are affixed to the unit like cabinetry, lighting, etc.
Remember-- you are buying these fixtures and the condtion it is in. Sometimes the dishwasher may be brand new, but other times the washer and dryer are almost on its last leg. Take into account the replacement values for all these fixtures before you go on your house hunt. The more you know, the better you will be!
Included in the purchase price of the unit, in many cases, is the parking space(s) and/or storage space(s). As a first time home buyer, make sure that this information is included in your contract of purchase and sale. Most likely, your lender will also require this information.
Parking spaces, especially in downtown Vancouver, where they come at a premium, however, might not always be included in the purchase price. Are there one, or two? Or none? This makes a big difference when it comes to owning a condominium in the heart of Vancouver. Make sure you find out from the listing agent and double check with the strata information that are given to you and include this in your contract of purchase and sale because you will be relying on this long after you have moved into your property.
Buyers, write down specifics on the contract of purchase and sale-- what you would like to be included in the purchase price of the property. The seller could agree, or not agree-but at least you stipulated and itemized these objects so that you will know for sure what is included and not, and there will not be any misunderstandings or unexpected surprises that were not in your favour.
Sometimes what is typically included in the purchase price might be written down in the MLS feature sheet as well as the contract as an 'exclusion'. If this is so, make adjustments to your purchase price when negotiating. Know how much these will cost to replace as it could be substantial.
Good luck, I hope this helps!
Geraldine Santiago is a RE/MAX Realtor® licensed in both residential and commercial real estate services, specializing in land assembly projects and land acquisition.She is a published author of three real estate reference books for Self-Counsel Press Ltd. namely the "Complete Home Buyer's Guide for Canadians", "Selling Your Home I Canada" and "Buy and Sell a Recreational Property in Canada" and her recently self-published ebook "How to Band Together with Neighbours in Land Assembly", 2018. She is known for seminars on real estate trends in buying and selling in metro Vancouver.