Today, we’re diving into the types of homes you should avoid like the plague. From charming century-old cottages to sleek, modern condos, what might seem like a dream home could quickly turn into a full-blown nightmare if you’re not aware of the hidden pitfalls.

And trust me, this is no exaggeration!

In the world of real estate, not all homes are created equal. Some properties come with risks that can seriously drain your wallet, your patience, and your sanity. And wait until we get to the last one – it’s going to ruffle some feathers, but you need to know what you’re getting into. So, let’s dive into the 6 types of houses you should never buy!

1. Stratified Properties with Red Flags

First up: strata properties. While some can be great, you ABSOLUTELY MUST review the strata documents going back at least three years. Look for things like:

• Pending Litigation: Legal disputes can lead to unexpected costs.
• Excessive Disrepair: Issues with roofs, elevators, or rotten wood balconies can mean major repair bills.
• 1985-2000 BC Condos (‘Leaky Condo Crisis’): These condos are notorious for rain screening problems, which lead to leaks and structural damage.
• Small Contingency Fund: A limited reserve fund can mean hefty special assessments (levies).

TIP: AI tools can help you do a quick preliminary review of strata documents to spot red flags.

2. Homes Over 100 Years Old

Now, I get it – older homes have charm and character, but they can also be money pits. Some of the most expensive repairs include:

• Plumbing: Lead pipes can cost tens of thousands to replace.
• Electrical: Knob-and-tube wiring might not meet modern codes.
• Asbestos: Found in old floor tiles, ceilings, and insulation – professional removal is pricey.
• Safety Hazards: Think low ceilings, steep staircases, and non-working fireplaces, which could be dangerous for families with young kids.

3. Homes in Flood Plains

Flood plains are risky, and not just in theory. Even if a home is in a 100 or 500-year flood zone, it can flood, as we’ve seen with the 2021 Fraser Valley floods.

• High Insurance Costs: Flood insurance can be outrageously expensive, often running into thousands per year.
• Storm Risk: Unpredictable storms can happen more often than you’d think. Always check city websites for flood plain maps.

4. Homes with Underground Oil Tanks

Underground oil tanks? Yikes! These are ticking time bombs.

• Removal is Crucial: Even decommissioned tanks need to be removed, and the soil should be tested for contamination.
• Costly Remediation: Removing a tank and cleaning up the soil can cost tens of thousands, if not hundreds of thousands.

A real-life horror story: In 2012, a North Vancouver homeowner discovered an oil tank on her property just before selling. The removal and decontamination process cost her $85,000!

TIP: Always get an oil-tank scan on pre-1980 homes. Think of it like using a metal detector for peace of mind.

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5. Poor Workmanship Homes

Bad workmanship can plague both old and new homes. What might look like a fresh coat of paint could be hiding deeper issues.

• Cosmetic Finishes: Uneven floors, sloppy paint jobs, and poor molding work could signal bigger problems behind the walls.
• Flips: If the home’s been flipped, make sure it wasn’t just a lipstick job on a pig!

TIP: Check the history of the home. Is it a flip? Look deeper to see if the work was rushed.

6. Manufactured Mobile Homes

Look, I get it – real estate is expensive, and manufactured homes seem like an affordable option. But here’s the hard truth: these homes are not investments.

• Depreciating Asset: Unlike traditional homes, manufactured mobile homes lose value over time.
• Financing Issues: Mortgages on these homes can be tough, especially if you don’t own the land. Lenders often knock years off the home’s economic life when calculating amortization, making payments harder.

If affordability is your main concern, consider a smaller condo or studio instead. It’s a temporary sacrifice for a much better financial future.

At this point, you might be thinking, “Glen, what can I buy if I can’t buy any of these homes?” Great question! Every area has its gems and its duds. Knowing the best neighborhoods, builders, and home types is key. And the best way to figure that out? Connect with a professional realtor like myself who knows the area inside and out.