Put status or estoppel certificates on your must-have condo buyer list.
They can tell you what condition a building is in — and whether the condominium corporation has the reserves it needs to fix common area problems like leaky windows.
Before you commit to making a firm offer on a condo you like, ask for a status certificate from the seller’s condominium corporation. Then ask an Axess Law real estate lawyer in Toronto, Greater Toronto Area or Ottawa to review your status certificate for common red flags.
What We Look for in Status Certificates
Unit Assessment Out of Bounds
Is the unit assessment similar to others in the building of comparable size? Does your unit have extra features, like a patio or fireplace that could justify why it costs more? You deserve to know how assessments are calculated and if yours seems fair.
Find out what the assessment covers and how garbage pickup, snow removal and common area maintenance are managed. More importantly, are assessments within your monthly budget and when are increases expected?
A history of your unit’s assessments could help you calculate if they are going up faster than you can afford.
Inspect your new home before you take possession – buyer’s right to inspect.
Past the Expiry Date
HVAC (heating, ventilation and air conditioning) systems past their expiry date may need expensive repairs or replacement. Check the status certificate for annual and periodic maintenance plans.
Strata council minutes can identify if other owners are having problems you might encounter. Mould and ventilation issues can spell costly repairs for individual unit holders or the building itself. Two to three years of minutes can be revealing.
What’s the Budget?
A condominium corporation’s annual operating budget and end-of-year financial statements can explain unit assessments that seem out of whack compared to other desirable buildings you are considering. They tell if the building is well managed or assessments are going up because of poor financial advice. Are common area fixtures owned or leased? Lease costs can be an ongoing and additional expense that add to your monthly assessment.
Buying your first condo — what you need to know.
Postal worker slipped and fell? Dog bit a condo owner? Verify if the condominium corporation is facing any legal action that could result in special, one-time assessments.
Reserve Fund Health
Does the building have a healthy reserve fund for ongoing major repairs, like resurfacing the parkade or replacing common area carpets? Major repairs or replacements not covered by a new home warranty are every owners’ responsibility. Wear and tear or accidental damage to a unit are yours alone.
A review of the condo corporation’s technical audit or reserve fund study will give you vital information about the building’s shape. You can always hire an accountant or condo consultant to advise if the reserve fund seems sufficient.
Questions you should ask about reserve funds.
How old your unit is will determine if it is covered by the Tarion one, five and seven year new home warranty. New homes have to meet Ontario Building Code standards and be fit to live in. Your warranty covers extras, like water penetration, building defects the contractor is responsible for preventing and major structural failures. Check the status certificate for building claims for common areas.
What your Tarion new home warranty includes.
Why You Need a Real Estate Lawyer
Axess Law’s licensed real estate lawyers review your agreement of purchase and sale when you condo shop in Ontario. We check status certificates for red flags and look for legal issues in pre-construction purchase contracts or assignments for sale.
Our real estate lawyer Toronto, Greater Toronto Area and Ottawa services process legal documents from realtors and mortgage lenders to close your deal on time. You meet mortgage discharge and financing deadlines and satisfy subject-to conditions or we negotiate with the seller’s lawyer to extend your contract.
See what information your Axess Law lawyer needs to close your deal.
A title status certificate review by lawyers can find outstanding financial or construction liens that delay or even stop your purchase. Finally, we check to ensure you have a condo insurance certificate, required to guarantee buyers have fire insurance for condos before they take possession.
Our lawyer fees are all-inclusive. Expect no surprises or extra fees when you receive your statement of adjustment, just our regular, low flat fees and great service.
Buying or selling – what your lawyer does.
Flat Fee Real Estate Services
Short deadlines or complex mortgage arrangements are no problem when you hire Axess Law’s flat fee real estate lawyers. Our qualified Ontario real estate lawyers charge $999.99 and up plus HST to buy a condo or $799.99 and up plus HST to sell your pre-construction or resale condo.
Book an Appointment Online or By Phone Today
Dial 647-479-0118 to close a real estate deal for your next condo. Booking appointments online with our easy-to-use booking form takes minutes of your time.
No time, no problem. We have convenient day or evening appointments to fit your schedule.
Virtual Real Estate Lawyer Services
Our virtual lawyer service can remote you in by video conference anywhere in Ontario. Axess Law uses only confidential, secure video conferencing software. We make e-signing easy or, when you just can’t get away, deliver documents to your home or office.