Depreciation Report Obsolescence

Why many depreciation reports are immediately obsolete.

Richard Shatto April 2013

Inspection-Deficient Depreciation Reports:  Many depreciation reports are either completed now or in process. Unfortunately, many condo-owners may still be vulnerable to many unknown and possibly high-cost repairs. That's because depreciation report producers are not all recommending an actual "building inspection" to complete the reports. Instead, engineers and appraisers are doing a superficial  walk-around-the-property which is inadequate and then merely reporting on what they determine from review. To fill in gaps, they then go back to their offices and within minutes, can "look-up" and insert generic data from national building statistics databases which make "assumptions" about the building. These database insertions serve to merely "ball-park" the condition of your building.



Future Problems: Unfortunately, any specific building issues that are there and could have been found in an actual inspection will not be, but could (and probably will) eventually come home to roost and cost unsuspecting owners a bundles of money...far more than the few thousand dollar cost for a legitimate inspection.

Point Nexus does full building inspections for its depreciation reports. We can also do a building inspection as an add-on to existing depreciation reports, but that frankly is rather backwards. So, though an up-front building inspection will cost a little more, it could save tens or even hundreds of thousands of dollars in the future. We believe it's definitely worth it and it's what the depreciation reports were intended to do.



Point Nexus provides a combination specialized disciplines with professional partners to first inspect your building and then produce high quality, readable reports. You can have confidence because we are:

• Experienced Professionals: Providing management for building inspections and assessments using professional vendors such as engineers, real estate appraisers, mechanical technicians and quantity surveyors, each professionally certified for quality work. 
• Construction Experts: Providing construction, remodeling and remediation services for commercial and residential strata buildings. Our staff also provides high level committee leadership for business and political associations related to the Building, Planning, Development and Remediation.
• Professional Writers: We have years of strategic business management experience authoring professional project reports, strategic plans, presentations and proposals.

A Team Approach: We assemble a team of in-house and external professionals including: structural engineering firms, a quantity surveyor (for the number crunching), a team of technical service firms for the variety of building systems. We are also able to partner with a Canadian Acceptance firm to help finance strata owners.



If you would like to reduce your risk, control your future expenses and have that important piece of mind, contact us to arrange a no-obligation discussion.