The Kitec Effect on Property Values
Most people discover that Kitec plumbing is in their house when they are either buying or selling their home. The issue is generally brought to their attention by a home inspector, and the presence of the risk must be made known to the buyer.
It is worth noting that although it has been 20 years since the first use of Kitec, most homes have existed without incident.
That being said, every year presents new cases of pipe rupture or fitting failure. Will the home you are buying or selling be next?
Buying or Selling Your Condo?
Note for condominium owners: Under the condominium Act, each condominium corporation must be insured up to the amount of replacement value of condominium. Some purchasers who get wind that there may be an insurance issue are being scared away and unit prices in market may fall. Also many solicitors in high rise buildings advise buyers about the potential of increased maintenance fees due to the potential cost of replacement in the future. In a low-rise, or townhouse condominium, there is little or no risk to common elements and so the responsibility and concern is generally all on the home owner, since the piping system falls within the home entirely.
Buying or Selling Your Home?
Detached Home Owners: If you are selling your home and it has Kitec in it, your potential buyers will be alerted and most likely will request a lower price on your home. If you are the buyer, you will certainly need to decide if you want to take the chance of negotiating a lower price on this issue or if you want to have the home owner replace the system as a condition of sale. Either way the home owner will have to make the decision to replace or not.
