Humber/Ontario Real Estate Course 4 Exam Practice

What action should Kwon take if his new property's current use is legal but non-conforming to the zoning bylaws?

1. Kwon need not be concerned about zoning matters, as both the old and new locations are zoned M-1 and the same restrictions would apply.

2. Kwon should not buy the property, as the current use is non-conforming.

3. Kwon should fully investigate all zoning matters concerning the property to ensure that it can be used for his stated purpose.

4. Kwon should limit his zoning investigation to the issue of whether or not the current owner is complying with the non-conforming use.

5. Kwon can proceed without worry as long as he maintains the same business type.

6. Kwon should apply for an exemption from the municipality.

The correct answer is: Kwon should fully investigate all zoning matters concerning the property to ensure that it can be used for his stated purpose.

Kwon should fully investigate all zoning matters concerning the property to ensure that it can be used for his stated purpose because understanding the implications of the non-conforming status is crucial in real estate transactions. Legal but non-conforming use means the property has been used in a way that predates current zoning regulations. While this use is allowed, any changes to the use or expansion may not be permitted without further inquiry into local bylaws and municipal regulations. Investigating zoning matters is essential for several reasons. First, it will help Kwon determine if his intended use aligns with what is currently permissible under the zoning bylaws. Additionally, understanding the rights associated with non-conforming use will inform Kwon about the potential risks, such as the possibility of losing that use if the property is damaged or if he decides to expand the operations. It also ensures that he is aware of his obligations and any restrictions that may apply if he wants to modify the existing use. Determining the extent of the non-conforming use, any applicable conditions, and the potential for future development or necessary permits are all critical components of due diligence in real estate. This understanding will empower Kwon to make informed decisions regarding his investment and avoid complications down the line.