Tuesday, September 16, 2008

Condominium purchase

Ever thought about purchasing a condo? What is the difference between condo and freehold? What are the rules in Condo living? So many questions.

Freehold is full ownership of the building inside and out and the surrounding property within the ownership boundry commonly shown on a survey of the property.
Condominium in most cases is the full ownership of the envelope(interior walls of the unit) and shared or common area ownership of the surrounding property. Such as the community hall, the hallway, the elevators, the gardens etc.

Condo living can be great...no more exterior maintenance such as lawns or snow, roof or window repair etc, but, condo's also have rules. Make sure to get a copy of the Rules, regs and by-laws of the corporation to be sure you can live by the rules...pets, noise, kids, payment of fees, common element use such as pools, fitness facilities etc., will be just some of the rules contained in the regulations and by-laws.

Condominium Status Certificate: What is it? It is a document prepared usually by the Secretary of the Condo Corporation which details all the happenings with the condo corp...past repairs, future indicated repairs or replacements(usually done by an engineering firm), how much money is in the reserve etc.
Further information on Condominium Act, 1998 can be found at:

The corporation shall give to each person who so requests a status certificate with respect to a unit in the corporation, in the prescribed form, that specifies the date on which it was made and that contains,

(a) a statement of the common expenses for the unit and the default, if any, in payment of the common expenses;

(b) a statement of the increase, if any, in the common expenses for the unit that the board has declared since the date of the budget of the corporation for the current fiscal year and the reason for the increase;

(c) a statement of the assessments, if any, that the board has levied against the unit since the date of the budget of the corporation for the current fiscal year to increase the contribution to the reserve fund and the reason for the assessments;

(d) a statement of the address for service of the corporation;

(e) a statement of the names and address for service of the directors and officers of the corporation;

(f) a copy of the current declaration, by-laws and rules;

(g) a copy of all applications made under section 109 to amend the declaration for which the court has not made an order;

(h) a statement of all outstanding judgments against the corporation and the status of all legal actions to which the corporation is a party;

(i) a copy of the budget of the corporation for the current fiscal year, the last annual audited financial statements and the auditor’s report on the statements;

(j) a list of all current agreements mentioned in section 111, 112 or 113 and all current agreements between the corporation and another corporation or between the corporation and the owner of the unit;

(k) a statement that the person requesting the status certificate has the rights described in subsections (7) and (8) with respect to the agreements mentioned in clause (j);

(l) a statement whether the parties have complied with all current agreements mentioned in clause 98 (1) (b) with respect to the unit;

(m) a statement with respect to,

(i) the most recent reserve fund study and updates to it,

(ii) the amount in the reserve fund no earlier than at the end of a month within 90 days of the date of the status certificate, and

(iii) current plans, if any, to increase the reserve fund under subsection 94 (8);

(n) a statement of those additions, alterations or improvements to the common elements, those changes in the assets of the corporation and those changes in a service of the corporation that are substantial and that the board has proposed but has not implemented, together with a statement of the purpose of them;

(o) a statement of the number of units for which the corporation has received notice under section 83 that the unit was leased during the fiscal year preceding the date of the status certificate;

(p) a certificate or memorandum of insurance for each of the current insurance policies;

(q) a statement of the amounts, if any, that this Act requires be added to the common expenses payable for the unit;

(r) a statement whether the Superior Court of Justice has made an order appointing an inspector under section 130 or an administrator under section 131;

(s) all other material that the regulations made under this Act require. 1998, c. 19, s. 76 (1); 2000, c. 26, Sched. B, s. 7 (5).

Wednesday, September 3, 2008

The Same Question

Over and over again the same question always comes up regarding a multiple offer or competing offer in a transaction in real estate and that question is.......

Well here is the straight forward, no holding back answer....."NO".

In real estate part of our duty as registered real estate representatives is to ensure the best interests of our client(s). To divulge "offer" information does not protect the interest of any parties to the current transaction. So even if I knew the answer, I can't and won't tell you, nor should your representative. The only way to find out if your offer is the "best" offer, is to submit it, have your representative present the offer, and see if it accepted. That doesn't always mean you beat out the other offer monitarily speaking. Your offer could have been the lesser for money, but may have had better conditions or no conditions at all which are worth money in a round-about way.

The best way to ensure you don't end up in a competing offer situation is to get your offer in right away...don't wait around.