How to Buy a Cottage Without Any Problems

Now may be the best time to buy the cottage you always dreamed of considering that the cottage real estate industry was not spared by the economic downturn. The cottage country real estate market is now more balanced after years of the demand surpassing the supply. Time-share and new condo developments are offering generous incentives to possible buyers while the prices of resale cottages are falling as seen in the Collingwood real estate market.

Securing the help of an area specialist should be your first order of business. Just make sure you choose a real estate agent with a in depth working knowledge of recreational properties. An agent working in an area surrounded by cottages and lakes does not inevitably have involvement selling cottage real estate. Experience selling in the recreational real estate market should be your determining factor when choosing an area specialist.

Zoning is a very crucial aspect to evaluate. You may be prevented in some cases from changing your cottage into a year round residence by municipalities having adopted a season using zoning. The same is true for additions and added constructions. Be sure you ask your agent about the zoning by-laws in the area that appeals to you. While the zoning by-laws are passed by the municipalities, day-to-day concerns are dealt with by the cottage associations.

If you are in the market for a waterfront cottage, be aware that you may not be able to modify the beach or shoreline on your future cottage. Adding fill or changing the slope of the land may be prevented from the authorities, as is the case for Collingwood cottages. Any structures that impact the shoreline such as boathouses, docks, retaining walls, etc require permission before they can be constructed or modified. You need to be sure the legality of the existing structures or that changes can be made in the future and this can be achieved with a clause in the purchase agreement.

Before concluding your purchase, you should research the road access to and from your cottage. Aspects such as who is in charge of the upkeep of the roadway, whether the road access is public or private and if it is open year round should be determined. The access may be along a private right of way in some instances.

The sewage and water systems are another element to consider. In many cases, water is drawn from wells or from lakes and rivers. It is crucial to have your water tested by the local health authorities to make sure that is safe to absorb. You may need to install a mechanical purifier in order to receive potable water. Waste disposal is usually provided with a septic tank and these are tightly regulated by the Environmental Protection Act. In many of older cottages, the septic system may be a crude improvisation. If you are planning to build an addition on the cottage, you may need to change the septic system as it will most likely no longer be adequate.

Financing of the property should be your final consideration. You will require financial assistance, if like most purchasers, you cannot afford to pay cash for the property. You will be asked to put down a minimum down payment of 20% although the quantity of financing available will change with each financial institution. The financing options available for recreational properties should be evaluated with a local mortgage broken with knowledge of this market.