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Leaky condos & politics

The NDP has done what political parties do and issued a press release accusing the liberal and conservative parties of inaction in the leaky condo crisis. The BC leaky condo crisis is the largest and costliest construction crisis in Canadian history. Beyond the health hazards of living with mold in your walls, these repair costs have added to the ‘affordability crisis’ here.

The average per unit repair cost for co-op owners rose from $38,000 to $62,000 between 2000 and 2006, while per unit repair costs for condos went from $20,000 to $54,000 in the last six years.

The key recommendations coming out of the Barrett Commission included: forgiving the GST on repair and restoration costs; income tax deduction of repair costs; fair and flexible Canada Mortgage and Housing Corporation grants to leaky housing cooperatives; and penalty free access to RRSPs to fund repairs. The Commission also suggested that CMHC has failed to be an advocate for homebuyers in the coastal climate of British Columbia.

“The Barrett Commission, a BC provincial inquiry, could only go so far in determining what role CMHC played in the delivery of substandard constructed homes. That’s why the Federal government must hold an inquiry to get to the bottom of this matter and to prevent other Canadians from falling victim to defective homes,” said Maretic.

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10 Responses to “Leaky condos & politics”

  1. 1
    VanPhoenix Says:
    February 22nd, 2007 at 11:30 am
    It still amazes me how developers an get away with this. They put out a sub-standard product and then don’t have to stand behind it. In the meantime they can ruin the lives of their consumers by way of repair costs etc. Unreal. It is truly criminal. Another good reason to stay away from these dirt bag developers.

    Current score: 0
  2. 2
    van-realestate-crash Says:
    February 22nd, 2007 at 4:23 pm
    It’s hard to understand how they can get away with such criminal conduct, if not in law, at least in the moral context.

    Had it been any other industry, the executives would have been thrown in jail.

    Current score: 0
  3. 3
    runawayscreaming Says:
    February 22nd, 2007 at 8:25 pm
    I would love to have more sympathy for crappy, leaky condo buyers but it is very obvious that condo developers and homebuilders in Vancouver have no incentive to produce anything other than absolute junk. Vancouver condo buyers will purchase anything, even sight unseen, not yet constructed.

    Just take a good look at some of the construction sites in Vancouver. It should be obvious to anyone that quality construction is not going to result. Contracts are going to the lowest bidder. Unqualified workers are being hired to save money. Building fixtures (like windows) are being drop-shipped in containers directly from China. Corners are cut everywhere. Building inspectors are few and far between.

    Despite the uproar over the leaky condo crisis, nothing has changed. The new buildings are just as crappy as the old ones. It doesn’t matter to developers. People will buy anyway. Heck, they continue to buy condos from known leaky condo developers.

    Dear home buyers, Vancouver is the crime capital of Canada. Vancouver gave birth to the world’s most corrupt stock exchange. Vancouver is the current stock scam capital of the world. Vancouver’s major industry is drugs! Vancouver’s other industry is condo flipping. Business standards are obviously very low in Vancouver. What do you expect when you buy a condo in Vancouver?

    Homes in Vancouver are not for living in. They are for flipping. It’s bad for your health to live in them. The mold will eventually kill you, if the inevitable special assessments don’t give you are heart attack first. Vancouver is a real-estate craps table, not a city. It just looks like a city. Caveat emptor!

    Current score: 0
  4. 4
    satv Says:
    February 22nd, 2007 at 8:40 pm
    THEME OF THE WORLD
    ——————
    It is hard to deal what happen in the past.
    It is always good to be careful about future.
    Learn from past to make better future,that the theme of modern society.
    One of my friend was also a victim of leaky condo,four times repair had been performed on his condo which cost the management $20,000,he was lucky that their building was insured.

    Government has taken lots of step to erase that leaky condo problem
    like ban on material that can cause leak.

    Developer’s now a days offering 2-5-10 warranty system.I can say its still not a life time but thats mean,because of rain and snow its hard to get lifetime warranty,
    Water is a dad of the world that can get through anywhere.

    DAILOUGUE:It is not just a difficult but it is also impossible to fix leak on properties and on miss universe

    Current score: 0
  5. 5
    runawayscreaming Says:
    February 22nd, 2007 at 9:00 pm
    Satv, first of all it is easy to prevent leaky condos. Secondly, those warranties you refer to are a complete joke and nothing more than a marketing gimmick that offers no real assurance to condo buyers.

    I must also disagree that it is impossible to fix leaks on Miss Universe. She could be fixed-up with some Insta-Patch or duct tape if she would just hold still.

    Current score: 0
  6. 6
    satv Says:
    February 22nd, 2007 at 9:12 pm
    well we can criticise humans but for science you need theory or idea’s.
    If you have idea to fix leak give that to government and media.
    thanx

    Current score: 0
  7. 7
    patiently waiting Says:
    February 22nd, 2007 at 10:28 pm
    I’m starting to believe that unless you are in the top fifth of income earners, you should simply never own in Vancouver. Even after a crash, what you can afford isn’t worth it. Just rent and invest whatever you can put aside.
    I guess I should change my handle as I am no longer waiting to own. To heck with that.

    Current score: 0
  8. 8
    Warren Says:
    February 23rd, 2007 at 12:11 pm
    I can speak from some experience, as my poor mother bought a condo on Gildwood drive, which basically became the poster child for the leaky condo problem in the lower mainland. Lucky for her, (probably due to publicity) the city of Burnaby re-zoned the area and the owners agreed to sell off the entire package. I think she bought around 1996 and sold in 2004, net profit of around -5%.

    On a related topic, thanks to the NDP for beaking off now. Who the hell was in power when this whole thing was happening? Typical political BS.

    Current score: 0
  9. 9
    aetakeo Says:
    February 25th, 2007 at 11:57 am
    Yeah, Warren, I have to agree with you; I am generally left-leaning, but the NDP certainly have culpability. I think something has to be done nationwide about this stuff: bad contractors and subcontractors, crummy inspections, etc.
    I’ve been watching too many episodes of Holmes on Homes, too. I’ll be bloomin’ paranoid, should I ever own RE. A contractor’s nightmare with second and third opinions.

    Current score: 0
  10. 10
    patiently waiting Says:
    February 25th, 2007 at 5:02 pm
    I find it interesting that the BC housing bubble started right around the time when the NDP was voted out. Maybe we need another NDP government to cool off the economy — this overheated, credit-fueled economy isn’t benefiting most people anyhow — and bring down housing prices.

    Current score: 0