Be wary of March Madness pools
There are no shortages of homes with pools in many neighbourhoods within Vaughan. They seem to be growing in popularity and probably in part due to demographics. For the busy Boomers, it’s often a sensible alternative to escalating vacation real estate prices. Why leave your home for the cottage, when you can create a cottage at your home, some will argue. (I’m not one of them).
Buying a re-sale home with a swimming pool at this time of year can be a contentious issue to deal with when it comes to satisfying yourself of the pool’s working order and condition.
As a buyer you are faced with a predicament because unlike the rest of the home, the pool will not be a component of the home inspection.
There are two straightforward reasons for this:
1. A complete and proper inspection of a pool and associated equipment cannot take place until it has been opened and is operating.
2. Pool inspections are beyond the normal scope of expertise of traditional home inspectors.
So what are some of your options you ask? Well, there are several and every situation is a unique one.
One approach would be to include a conditional offer clause in the agreement of purchase and sale which is subject to a professional pool inspection. Unlike traditional home inspectors, there are a number of companies which offer these services. Quite often, they are representatives and/or principles of a larger pool installation company.
The problem with this solution again relates to #1 above. If the closing date of a home you are considering is anytime before the pool can be opened, this approach is not possible. By definition, a sale cannot close until all conditions are met or waived.
Another approach would be to include a seller’s representation and warranty on the working condition of the pool and equipment. The downside to this approach is that unlike a conditional inspection, the use of this clause does not provide an inherent mechanism for terminating the agreement of purchase and sale. The only recourse for the buyer here would generally be a good-faith settlement and agreement or civil lawsuit. The advantage of this approach is that it avoids a condition in the agreement which can extend for months (ie until the pool is opened) and thereby arms the buyer with a more appealing offer, all other things being equal.
These are simply two options one can take and there is no all-encompassing method for handling this issue. There are many variables to consider and the guidance of your real estate representative and/or lawyer is certainly well advised.
Cannonball!!!
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One Response to “Be wary of March Madness pools”
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Carl, your article on the pool predicament is 100% bang on! My wife and I recently purchased a home in Vaughan that had a pool. While a pool was not one of the search criteria for our new home, I nonetheless didn’t want to get saddled with extra costs of repairing a damaged pool that “came with the house”. Ultimately, our only recourse was to get the owner’s representation that it was in good working order. Worst case, I’ll backfill the pool with soil