Yesterday (October 12), the Government of Alberta announced new rules designed to protect those buying a condo property in the future.

The regulations, which come into effect on January 1st, require developers to give more information on a buying contract and to the first elected condo board.

Other rules will ask that developers give a realistic estimate of condo fees and hold a buyer's deposit in trust with a lawyer while their new condo is being built.

Here in Airdrie, there is some concern that these new rules could actually make things difficult for buyers and developers.

"It's going to cause a lot of hardship on the developer," said Lorelei Talbot, Owner of Astoria Asset Management. "Developers are businesses and they develop condominiums to make money and that's just going to cause them to rethink on how they're building condos going forward."

Talbot says she understands why the government wanted to put these rules in place but questions whether they truly understand the nature of the condo business.

"I don't understand how the MLAs could even go through this unless they knew condominium management. There's a lot of things in here that they potentially wouldn't understand so for them to vote on it, I just really have a challenge with that."

Right now, Talbot says it's too early to tell how much these rules could cost developers and consumers and her own company, but she said ultimately it will cost more in the long run.

"We have to figure out how we're going to structure our management for these developers now going forward. Are we going to have to charge the developers up front for our services? It just comes right back around to the consumer."

The Alberta Liberals say they're pleased that updates are finally coming to the Condo legislation, but wants to make sure the government takes the time to get it right.

“There are many unanswered questions,” said Liberal MLA David Swann. “The government needs to be upfront with Albertans and put everything it is planning on the table for discussion before moving ahead.”

More info on the proposed regulations and a survey can be found on the Condo Alberta website.

 

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