Buying a brand new condo from a builder? Resale value is a very important point to consider. When buying a new condo that is still under construction, many people find it hard to imagine what factors will affect its resale value. In the article What to look out for when buying a new condo, we already gave some suggestions of what to look for. In this article we dig deeper into the resale value of a new condo.
The location of the building
The location of the building is obviously very important for resale value and requires some research. What is the community like, where are the shops and other amenities, how accommodating is public transportation around the building? What are neighbouring homes and other condo buildings like? Are any recreational facilities around, and where are the green spaces and pathways?
On which floor is the unit?
On which floor is the unit located? Usually, the price of a condo increases if going to higher levels, and most often a top floor unit is most expensive. Top floor units don’t get any noise from upstairs, don’t catch as much pollution and noise from street traffic and usually have the better views. The purchase price will be higher, but so will the resale value.
Direction of the unit
Which direction does the condo unit face? Where are the biggest windows and the balcony located? What are the views from the condo? Calgary gives gorgeous mountain views unless a building is blocking the view. Also, pay attention to the surroundings because views of humming air conditionings on the rooftops of shops around are just less attractive and usually negatively affect resale value. (find photo of ac on rooftop)
Notice how the sun will move and how the sun affects the light in the unit. Is there full sun all day, or perhaps only sun in the morning? Are any other buildings blocking any sunlight?
Ground floor units

Humming A/C’s can affect resale value.
When looking at a ground floor unit, again, be aware of the location and its surroundings. This is important for several reasons. For example, the ground floor can be directly on a busy road giving off a lot of noise. A ground floor unit next to the entrance usually gives more bypassing foot traffic. Think of the packages and food order deliveries alone. A ground floor can face a parking lot, and car beams may constantly shine into the unit. Although the feeling of safety is different for everyone, it is still a good idea to check on this in regard to ground units.
Understanding floor plans
Usually, builders offer different floor plans in an apartment building. For many, it is very difficult to visualize floor plans from a drawing. Take your time and draw out the exact sizes in your own home, to make sure that they match your expectations. Always check with the builder on how measurements are drawn and if they include or exclude exterior walls, balconies and even parking.
The importance of layout
Floor plans are extremely important regarding resale value. So often, we see layouts that just don’t work for many. We see hallways that are bigger than the bedrooms, kitchens islands that are overbearing, extending into the living room or simply a layout with a lot of wasted space.
Furthermore, where are the bedrooms and bathrooms located in terms of the viewpoint from the living area? Is the main view from the living room or kitchen? Do all bedrooms have windows? Do the measurements match up to a real bedroom size or just an office?
What materials are used?
Show homes are ‘picture perfect’ and invite a person to buy a condo. A unit with stainless steel appliances, hardwood flooring and granite countertops seem nearly standard features in a condo. In recent years, vinyl planks became really popular, as well. Usually, lighter color schemes seem slightly more popular than dark color schemes. Either way, pay attention to finishings and choose materials that will appeal for some time to come.
Added features to living comfort
Nobody likes to hear the neighbour sneeze, or worse. And nothing is more frustrating than a potential buyer hearing the neighbour’s music and footsteps during the showing. So check with the builder on what material or structure is used for noise reduction. In Calgary, most low rises are wood constructions, allowing more noise from the neighbours.
Besides sounds, is there any odour control in place, and how are the units cooled and heated?
Is the building energy efficient? What material is used, and what equipment is in place to make the building more energy efficient?
Concerns for other noise within the condo
Of course, the noise of commuting traffic is a concern for a unit’s resale value. But, also, a train or Calgary’s LRT can be bothersome. One thing often overlooked is the location of the entrance to the parkade. The door of the parkade opens and closes many times a day. Its noise often affects a unit which is located right above, or close, to that garage door.
An elevator is relatively quiet, but stairs and slamming doors to the hallway can also create noise pollution. And the same goes for the boiler room. Boiler rooms make a humming sound most of the day and can affect the units right beside it.
Bylaws, what is allowed and what isn’t?
When buying a condo, you also buy into a condo corporation. This means that the corporation comes with bylaws. These bylaws are important because they can affect resale value. Learn about some important items such as the pet rules and allowance of air conditioners. Some condo complexes allow renting out via platforms like Air B&B. For some this is an important option. However, many feel these short-term rentals are disturbing in creating noise and being a nuisance. Learn more about bylaws.
Amenities
What does the developer plan for amenities in the building? Amenities are usually a great selling feature for a builder, and the list of amenities is almost endless: a gym, a tennis court, a swimming pool, roof top patios, 24 h concierge, bike storage, guest suites, party room, bays to wash a car or your pet, internet access, elevators, etc. Some features are better for resale than others and this is specific to each person. Also, some amenities, like a concierge and a swimming pool, are costly and increase the condo fees.
Parking
Questions about parking are always important. Resale value is very much affected if a condo doesn’t come with a parking stall. First, when buying new, the question is if parking is included, and how many parking spots are included. Is the parking stall titled, leased or assigned? Underground parking or outside? Will visitor parking be available? How accommodating is the parking situation around the complex? Free parking or permit parking? A condo with two parking stalls is beneficial for resale value. But only one parking stall is most common in Calgary.
Storage
Where can you store winter tires, artificial Christmas trees and camping gear? Extra storage is important. What is the size per storage unit, where is the storage located and what type of material is used to create the lockers? And, last but not least, storage, just like parking, can be titled, assigned or leased. Storage might not affect resale as much as parking. However, a unit with extra storage is often easier to sell. (add picture)
Elevators
Inquire about the elevators in the building. Where are they located relative to the unit? Do you need to walk ‘a million miles’ to reach the elevator? As well, how many elevators are planned in the project? Having to wait for an elevator for 10 minutes every morning gets annoying very quickly. Many potential buyers check for the presence of elevators.
Safety in both the building and community
How is the safety established in the building? Will there be a concierge, and, if so, how many hours per week? Will cameras be installed, and where? Who monitors those cameras? Is the entry secured via key fobs? What is the neighbourhood’s safety like? The Calgary Police is an excellent source for the amount of crime in each area, and what the type of crime is involved. A building with a bad reputation regarding safety is bad for resale.
What other developments are nearby?
Who are the builder and developer?
Research the builder and developer and get a sense of their quality and reputation. The internet can give some general information but is very limited. A realtor can research the MLS for previous projects of the builder and the developer. This research may give a sense of how the building was perceived, the quality of the builder, and if any issues are known. A building with a bad reputation is never good for resale, and the word spreads quickly.
The financials
Get involved
Ultimately, it is always best to be involved with the condo corporation. Becoming a board member and attending the yearly AGM to vote are the best ways. Furthermore, notify the board if you see any material issues such as cracks or items that need repair. Also, if rules from the bylaws are not being followed, notify the board. For example, occupants bringing in shopping carts, leaving a mess in the parkade, leaving shoes in the hallways, making excessive noise are all issues that can negatively affect the building as a whole, and need to be handled correctly.
Every owner is responsible for the upkeep, including making the place a happy one for everyone living in the building. Any buyer can find out how the building is run. Most buyers get a very quick sense of the operations of a condo building, so those showing best are most likely to gain more in resale value.
The help of a realtor
A realtor helps with the purchase of a condominium. Because a realtor has more experience, s/he knows what to look for when buying, and what affects resale value, and what doesn’t. The realtor can also help in researching the developer and the builder from previous projects.
Find a realtor who has a CCS designation. This stands for Certified Condominium Specialist. This required an extra education, offered by the Calgary Real Estate Board, and goes more in-depth into the condo laws, the bylaws, the financials, etc.
We are Tanja van de Kamp and Ariette van Pelt, working as a team, both buying and selling homes in Calgary. Questions regarding this article? Drop us a line! Contact us via email, call us at 403-978-5267, use our contact us form, or get in touch with us via Facebook.
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