I read your piece on strata insurance. I don’t see how an increase in insurance can sink the condo market.
I didn’t say it would sink the market, I said it would seriously affect the market. When premiums quadruple or when there is no insurance – it seriously affects the owners. When you cannot get insurance on your new purchase, the bank will not give you a mortgage. That will seriously affect buyers. In any case, as a buyer always check renewal date of your strata policy. If it’s renewing this year, you will see a large jump of current rates. Also ask: Have they had leaking pipes? Water ingress? Large insurance claims in the last three years? It’s not perfect but it may be necessary.
Major Point 1: Go to the BCREA Online Blog for clarification and an actual clause you can insert in your contract.
Major Point 2: We now hear boat insurance is extremely hard to get as well. It looks like the whole insurance/re-insurance market is in serious reversal. Please pay attention to all your investment properties, your home, and yes – your boat.