Hello Everyone:
When it comes to Condo's, I do have a bit of knowledge in this field. In fact, nearly 1/3 of my sales come via condominiums, either in representing the buyer or the seller.
The vast majority of Condo-Corporations are professionally managed: That is, a management company looks after the day-to-day affairs such as hiring the landscaping people, dealing with repair and maintenance issues, handling the finances and book-keeping etc etc.
One of the major responsibilities of such a Management Company is to make sure that all the necessary documents are provided whenever a current owner wants to sell his/her unit. In Manitoba, the Condominium Act stipulates the owner's requirements, which include providing the prospective buyer with a copy of the following:
1) A copy of the Disclosure Certificate
2) A financial statement.
3) A projected Budget statement
4) The Management Agreement
5) A copy of the By-laws
6) A copy of the Declaration
The first on this list, (Disclosure Certificate) is arguably the most important. It contains approx. 15 sections which outline the financial and legal well-being of the corporation. Sections include:
Whether or not the corporation is involved in any legal disputes.
Whether there are any insurance claims against the Corporation.
Is the Corporation planning to change or add to any of the amenities and common elements? For example, are they planning to install a tennis court and pool, potentially raising condo fees?
These are just some of the major points in a Disclosure, and you can see why it is an important document.
When a Corporation is professionally managed, obtaining such a certificate is merely a phone call and around $75.00 cost. However, in very rare cases, condo corps decide to 'self-manage', in which case the elected Board is responsible for providing this document.
Reason for my blog-entry on this: I've recently met with a condo board which has decided to self-manage, and they were not aware of some of these regulations. So here is a copy of a blank Disclosure Certificate...
Disclosure Certificate
In addition, I also have a copy of a Buyers Guide, which potential condo buyers might find useful.
Condo Buyers Guide
For more info on buying and selling, homes or condos, be sure to visit my website at www.WinnipegHomeFinder.com
til next time.....