Now may be the best time to buy the cabin you always dreamed of seeing that the cottage real estate industry was not spared by the economic slowdown. The cottage country real estate market is now more stable after years of the demand surpassing the supply. For example, prices for Collingwood real estate are declining for resale cottages and new condos and time-share developments are offering generous incentives to potential buyers.
Enlisting the help of an area professional should be your primary order of business. Just be sure you choose a real estate agent with a thorough working knowledge of cottage properties. Do not assume that because an agent works in a community surrounded by lakes and cottages he will know the answer to your questions. Experience selling in the cottage real estate market should be your determining factor when choosing an area specialist.
Zoning is a very crucial aspect to evaluate. In some instances, cottage country municipalities may have passed season using zoning preventing you from turning your cottage into a year round retreat. The same applies for additions and additional constructions. Once you select an area that you enjoy, make sure that you question your agent about zoning by-laws. While the zoning by-laws are established by the municipalities, day-to-day concerns are dealt with by the cottage associations.
You should know that you may not able to change the beach or shore line of a waterfront property that may interest you. Adding fill or changing the slope of the land may be stopped from the authorities, as is the case for Collingwood cottages. Any structures that impact the shoreline such as boathouses, docks, retaining walls, etc need permission before they can be built or modified. It would be wise to add a clause to your purchase agreement that warrant the legality of current structures or to make sure that changes can be done in the future.
Before finalizing your purchase, you should research the road access to and from your cottage. You should find out if the road access is public or private, whether it is usable year round, and who is responsible for the upkeep of the roadway. The access may be on a private right of way in some cases.
Another factor is the water and sewage systems. In many cases, water is drawn from wells or from lakes and rivers. It is important to have your water evaluated by the local health authorities to ensure that is safe to drink. You may need to install a mechanical purifier in order to access potable water. Waste disposal is generally provided with a septic tank and these are strictly regulated by the Environmental Protection Act. In a lot of older cottages, the septic system may be a crude device. You will need to replace the system for a more capable one if you plan on constructing an addition on the cottage.
A last consideration should be the financing of the property. Most buyers cannot manage to pay cash for their recreational property and will need financial assistance. You will be required 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 cottage properties should be discussed with a local mortgage broken with knowledge of this market.
