If you’re buying a condo or townhouse in BC, you’ll quickly realize that purchasing a strata property comes with a lot of extra paperwork. These strata documents aren’t just formalities; they tell the story of how the building is managed, what financial health it’s in, what major costs are coming up for owners, and if any rules exist that might not mesh with your lifestyle.
Let’s break down the key documents you need to understand and what to look for in each.
Form B: Information Certificate
This document is a snapshot of the unit and the strata at a specific moment in time. It outlines things like monthly strata fees, parking, storage, whether there are outstanding payments or special levies, and the balance of the Contingency Reserve Fund (CRF).
What to look for:
• Is the Form B current within the 30 days?
• Does the information match what’s advertised in the listing?
• Are there unpaid fees or levies attached to the unit?
This is essentially the long-term maintenance plan for the building. It forecasts major repairs and replacements over the next 30 years, like when the roof, plumbing, or elevators need replacing and estimates what they’ll cost. The depreciation report will also provide financial models for the strata to ensure they are planning appropriately for upcoming expenses.
• Does the information match what’s advertised in the listing?
• Are there unpaid fees or levies attached to the unit?
Depreciation Report
This is essentially the long-term maintenance plan for the building. It forecasts major repairs and replacements over the next 30 years, like when the roof, plumbing, or elevators need replacing and estimates what they’ll cost. The depreciation report will also provide financial models for the strata to ensure they are planning appropriately for upcoming expenses.
What to look for:
• Are big-ticket repairs coming soon?
• Have recommended repairs been deferred?
• Does the strata plan to pay for future repairs with their CRF, special levies, or a combination of both?
• Is the strata following one of the financial models laid out in the report?
These show how the strata is spending money now and what they plan to spend in the coming year. They also reveal whether the strata is running at a surplus or deficit.
• Are big-ticket repairs coming soon?
• Have recommended repairs been deferred?
• Does the strata plan to pay for future repairs with their CRF, special levies, or a combination of both?
• Is the strata following one of the financial models laid out in the report?
Financial Statements and Budget
These show how the strata is spending money now and what they plan to spend in the coming year. They also reveal whether the strata is running at a surplus or deficit.
What to look for:
• Is the strata constantly running deficits?
• Is their maintenance budget significantly higher or lower than expected?
• Are there frequent special levies to cover unexpected expenses?
• Is there a significant amount of money budgeted for legal fees?
• Does their CRF contain less than 25% of their operating budget?
The bylaws and rules govern daily life in the strata. They cover everything from pets and rentals to noise restrictions, parking, and renovations.
• Is the strata constantly running deficits?
• Is their maintenance budget significantly higher or lower than expected?
• Are there frequent special levies to cover unexpected expenses?
• Is there a significant amount of money budgeted for legal fees?
• Does their CRF contain less than 25% of their operating budget?
Bylaws and Rules
The bylaws and rules govern daily life in the strata. They cover everything from pets and rentals to noise restrictions, parking, and renovations.
What to look for:
• Are pets allowed? If so, are there size or number restrictions?
• Are there any age or occupancy restrictions that won’t work for your family?
• Will the bylaws restrict the renovations you’re planning?
• Who’s responsible for maintaining spaces like balconies or patios—you or the strata?
Strata Plan
The strata plan is the legal document that defines the property. It shows what is part of your unit, what’s common property, and what’s “limited common property” (like balconies or parking that only certain owners use).
What to look for:
• Is the strata a bare land strata or a building strata plan?
• Does the parking or storage listed in the plan match what the listing advertises?
• Does the layout and size of the Strata lot on the MLS match the strata plan?
• Is there “limited common property” associated with the unit you are buying?
Meeting Minutes
These are the notes from strata council meetings, AGMs, and SGMs. They provide insight into what issues the strata has been dealing with.
What to look for:
• Are there any missing sets of minutes?
• Is the strata lot you’re purchasing mentioned in the minutes?
• Are the same problems (like leaks or disputes) showing up again and again?
• Do the minutes refer to legal opinions or engineering reports that have not been received?
• Are there discussions about upcoming special levies or large repairs?
• Does the council seem organized and proactive, or reactive and disorganized?
Insurance Certificate
This shows what the strata’s insurance covers, including the building itself, common areas, and deductibles.
What to look for:
• What is covered?
• How high are the deductibles?
• Do you need extra insurance to fill coverage gaps?
Buying a strata property is not just about the unit; it’s about buying into a community and a shared financial responsibility. Reviewing these documents gives you clarity on the strata’s financial health, how well it’s managed, and whether the bylaws fit your lifestyle.
Strata documents can feel overwhelming, but they’re one of the most important parts of the due diligence when buying a home in a strata. For all of my clients, I do a full review of the strata documents to make sure nothing is missed. I will walk you through the key details, point out any red flags, and help you feel confident before making an offer. If you are considering a strata property and want a clear, informed path forward, reach out to me anytime.
• What is covered?
• How high are the deductibles?
• Do you need extra insurance to fill coverage gaps?
Why These Documents Matter
Buying a strata property is not just about the unit; it’s about buying into a community and a shared financial responsibility. Reviewing these documents gives you clarity on the strata’s financial health, how well it’s managed, and whether the bylaws fit your lifestyle.
Strata documents can feel overwhelming, but they’re one of the most important parts of the due diligence when buying a home in a strata. For all of my clients, I do a full review of the strata documents to make sure nothing is missed. I will walk you through the key details, point out any red flags, and help you feel confident before making an offer. If you are considering a strata property and want a clear, informed path forward, reach out to me anytime.