Calgary Condo Documents
Condo documents give buyers a more accurate representation of the financial and physical health of a condo unit, prior to making a purchase. By acquiring and reviewing this documents carefully, buyers can evaluate the true worth of a condominium.
In Alberta, it's a requirement to include a review of condo documents when purchasing a new condo, as per the Condominium Property Act, but it is not a requirement when purchasing previously-owned condos. Therefore, we always recommend making a review of the condo documents a requirement before making an official offer, or making your offer contingent on receiving the condo documents and being satisfied with the results.
We also recommend consulting with experts and lawyers to help you interpret the requested condo documents.
Sellers: When a buyer requests these documents, you will need to provide them within the condition time. Don't lose a sale over paperwork--ensure you're prepared in advance!
Documents For Previously-Owned Condos
Condo buyers should always request the following documents:
- The Condominium Plan (including any additions or addendums to the plan)
- Condo Bylaws
- Certificate Of Title for the unit
- Any restrictive covenants or agreements regarding the unit
- Phased Development Disclosure statement
In addition, condo buyers can request additional documents from a registry agent, using the condominium plan number. It is mandatory for the condominium corporation to provide you with copies of the following documents within 10 days of a written request:
- Condo corporation's current budget
- Certificate of insurance, including the amount
- Most recent year-end statement and financial statement
- The amount of the capital reserve fund
- Approved plan and annual report for the capital reserve fund
- Minutes from the most recent AGM
- Governing policies
- Details of any claim or legal action against the corporation, including outstanding matters
- Details of written demands that exceed $5000
- Details of any management, lease and recreational agreements
- Details of any exclusive use agreements for common property, such as storage units and parking stalls
- Explanation of the unit factors & criteria for determining unit factors
- Details of post tensioned cables on the property
- Details of any known structural deficiencies
- An estoppel certificate
We also recommend requesting copies of the following:
- Owner occupancy percentage rate
- Current policy manual, if applicable
- Fee structure schedules, including how condo fees are determined
- A condo disclosure that specifically references any upcoming assessments, intention to raise condo fees, and plans for upcoming renovations or repairs
- Names and contact info for current Board of Directors
- Most recent
Buyers: It's your right to review these documents! Ensure that you request the condo documents outlined on this page. We always recommend employing experts to help you interpret the documents. Justin Havre & Associates will be happy to recommend condo document review companies to assist you with this task.
A condominium plan is a registered, legal requirement for all condos. The condominium plan will cover several important details, including:
- Drawings and boundaries of each unit
- The division of units within a building
- The boundaries of any common property that the unit owner has exclusive possession of
- Any plans for developing the units or common property in phases
- Qualifications or restrictions of use for a unit
The estoppel certificate is a statement that certifies the information provided by the condominium corporation is correct. In addition, the estoppel certificate also shares crucial information about the financial health of the unit being purchased. This information will include:
- Payment schedule/frequency of contributions
- The current contributions of the unit
- Whether any contributions are currently outstanding
- Interest owing on any outstanding contributions
In the event that the estoppel certificate reveals amounts owing to the corporation, a buyer can have the amount deducted from the purchase price of the unit by a lawyer.
Buying Condos From A Developer
While buying condos from a developer is similar to buying a previously-occupied manner, there are some differences in the requirements for documents. In this case, more responsibility is placed on the developer, due to provisions in the Condominium Property Act, but it is still up to the buyer to ensure that the required documents are received and that the agreement is negated if they are not.
A developer must always provide the following official or proposed documents:
- The Purchase Agreement
- Condominium Plan
- Phased development disclosure statement
- Management agreements
- Recreational agreements
- Location of leased land
- Any mortgage that may affect the unit's title
- Reserve fund information (if the building is a conversion)
It's your right to cancel a purchase agreement for a new unit within 10 days of signing it, if the developer did not provide you with the above documents at least 10 days prior to the day of you signing the agreement. The cancellation request must be in writing.
Justin Havre & Associates can help you request Calgary condo documents, and will be happy to refer you to document experts. Contact us now to get started!