ᐅ Is it useful to hire a building inspector for a condominium purchased from a developer?

Created on: 6 Oct 2018 20:25
N
NeuMünchner
Dear Forum,

We have purchased an apartment near Munich from a developer (in a residential complex with about 30 apartments). The shell construction was recently completed, and the windows are currently being installed. Interior plastering will begin soon.

So far, we are very satisfied with the developer and their project management (the developer also has a good reputation). Nevertheless, we are wondering whether we should hire a construction expert to accompany the build.

Since the apartment comes directly from the developer, we are technically not allowed on the construction site at the moment. The actual handover and final inspection of the apartment will, of course, take place only at the very end of the construction phase (move-in planned for September 2019).

Our questions:
  • Is it really necessary to have a construction expert inspect the individual building stages despite working with a developer? Basically, to identify any potential problems early or at all. Or is it sufficient to bring an expert only for the final inspection of the apartment?
  • We would of course need to ask the developer if we are even allowed on the construction site with our expert. Has anyone in the forum done something similar when purchasing a condominium?
  • Which construction experts are recommended in the Munich area – TÜV, IHK, Private Homeowners’ Association, Google? (Information gladly by PM)
Thank you very much in advance for your help!
N
NeuMünchner
5 Aug 2019 17:08
Sven1969 schrieb:

We recently completed the final inspection of our build with a developer based in Hamburg. If my wife hadn’t been visiting the construction site weekly, the privately owned areas would have been a complete disaster: wrong tile backsplashes, incorrect fixtures, window outlets forgotten, and so on. For the inspection of the private property, we hired an expensive building inspector (he wrote the book on final inspections), and he was worth every penny. He notices things that a layperson simply wouldn’t see.
For the inspection of the common property, we hired the same inspector for the homeowners’ association, with the same results.
I would NEVER buy from a developer again and NEVER accept the property without an inspector. Here you have a professional (developer) up against laypeople (buyers).

Thank you very much for your feedback. In the end, we also decided to engage a building consultant. So far, the developer’s site management and tradespeople have been of high quality, and the consultant only found minor issues. Nevertheless, the consultant was worth the cost, and we would do it exactly the same way again. You just sleep better at night...

Additionally, as you said, it allows you to meet on equal footing. We simply emailed the consultant’s interim report to the developer, and all the points were promptly addressed or are currently being planned.
M
Muc1985
6 Aug 2019 21:20
Has the acceptance of the common property already taken place, or has the first owners' meeting been held? It is important that the community works together on this. It is also very beneficial to involve various experts (structural engineering / HVAC / electrical).

I would recommend the same to the community before the warranty period expires.

Kind regards
N
NeuMünchner
8 Aug 2019 15:20
Muc1985 schrieb:

Has the acceptance of the common property already taken place, or the first owners’ association meeting? It’s important that the community works together on this. It is also very helpful to involve different experts (structural engineering / HVAC / electrical).

I would recommend the same to the community before the warranty period expires.

Best regards

Good tip – thanks! Our apartment is still under construction. Therefore, the final inspection of the apartment and the common property has not yet taken place. We have an expert currently involved in construction supervision, whose area of expertise is moisture damage (he is not qualified for electrical issues). How would it be best to organize a building acceptance with several experts? With companies like DEKRA and others, there usually is only ONE expert...

Also, we have not yet had a meeting of the owners’ association. I wonder about the usual timeline here: does the first owners’ association meeting typically take place before or after the acceptance of the common property? We don’t know the other apartment buyers yet.
L
Ludwig Werth
30 Aug 2019 18:24
The idea that defects are located in the common property is incomprehensible, illogical, and contradicts all experience. Now, the discussion revolves around how the individual unit owners are supposed to approve the common property. This is quite simple: the developer wants to receive approval immediately upon completion, and this approval for the common property is granted by the homeowners’ association manager without any action required from the unit owners.

The initial question of whether to have a construction supervisor for the individual units is equally easy to answer: quality on site never arises by itself, and certainly not just because it is stipulated in the contract, as some buyers believe. The longer the leash given to the contractors, the quicker defects will appear. This is consistently true even among professionals. A buyer of a condominium unit or a house built by a developer is, however, a professional, and therefore construction supervision makes sense if conducted by a qualified expert.
M
Muc1985
30 Aug 2019 18:50
@Ludwig Werth In the past, the inspection of the common property was actually carried out by the property manager. However, this is no longer feasible. Nowadays, each individual owner must declare their acceptance directly to the developer.
L
Ludwig Werth
30 Aug 2019 19:25
@Muc1985 ..... thank you for your input; it seems we both are slightly off-center. It is clear that the partial owner cannot make legally binding declarations regarding the common property. The property manager appointed by the developer (who is often loyal to the developer) is not authorized to carry out the acceptance inspection, so in this case, the homeowners' association meeting must decide on a person to conduct the acceptance. If the initial management has already been authorized by the emerging homeowners' association, it is the responsibility of this property manager to accept the common property. This creates a gray area that, in my opinion, was not resolved by the 2013 Federal Court of Justice ruling: the developer can, after a minimal level of sales, call a homeowners' association meeting where a vote on the property manager takes place. Since the majority of votes still lie with the developer at this point (and may continue to do so in the future if sales stop), a property manager is effectively appointed who was chosen by the developer. This circumvents the contractual prohibition in the developer agreement as interpreted by the court yet achieves the same result.