Condo Smarts: Strata may charge additional fees for rush

There is no reason to wait until the last minute for the registrations and the payment form.

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Dear Tony:

Our strata council is discussing the rush fees for the real estate forms that are commonly requested when a unit is sold.

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We are often faced with an urgent call from the agent or the notary’s office requesting the forms less than 48 hours in advance. Our management company processes them as quickly as possible. Still, they are not always able to gather the materials with such a notice, and the sellers’ representatives have threatened us on several occasions if we are unable to produce the forms or for the costs of an urgent fee.

Is there a limit or method for setting urgent rates? What if our strata corporation or property manager cannot prepare the forms in such a short time? Can they sue us?

– Carolyn V.

Dear Carolyn:

Either a Form B Information Certificate or a Form F Payment Certificate, the strata corporation must provide it within seven days of form notification / request.

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A rush order and fee are a courtesy to the buyer and seller whose agents did not give reasonable notice of the forms. There is no reason to wait until the last minute for the registrations and the payment form.

As a seller, you would request Form F at least 30 days before the sale. The Form F payment certificate has a maximum fee of only $ 15, is valid for 60 days, and reveals to the seller any outstanding charges or fees for the layer lot.

These will be collected and reconciled when the transaction is complete.

A common complaint from sellers is the misapplication of the alleged fees owed, and the seller does not have the option to pay them; this is always the result of a last minute request from the form.

If you are selling your batch of strata, get the form ahead of time and review the pending costs or claims. If you disagree, you can deposit the amount in trust and file a claim with the Civil Settlement Court to dispute the charges.

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Insurance deductibles or damages that claim an owner was responsible for the cost cannot be included on a Form F unless the strata corporation has obtained a judgment for them.

A type B information certificate is more valuable to a potential buyer. This document discloses general information about the strata corporation. Specifically, it discloses the monthly installments to be paid by strata, the amounts pending from the seller, the alteration agreements, the projected deficits, the amount in the reserve fund for contingencies, the statutory modifications and the three-quarters of the approved votes that still remain. They are not registered in the Property Registry. , liquidation resolution approved, legal proceedings in which the strata corporation is a party, work orders, the number of rentals, the allocation of parking spaces and storage lockers, and a copy of the strata rules, current budget, if a rental disclosure was ever filed and the most recent depreciation report.

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All of these documents can have a significant impact on a buyer’s decision to proceed with a purchase. It is best for the buyer to request a Form B as a condition of the purchase, not to wait until the last day to include it in the transaction documents.

The fee for a Form B is set at $ 35 plus 15 cents per page per copy. Considering the work involved, the cost of the forms is significantly undervalued. These fees are the limits only if the party requesting the documents has allowed a seven-day notice.

Whether the party requested the forms 14 days or two days in advance, the corporation or strata broker still has seven days to provide the documents.

If the period is less than seven days in advance and the party requires the forms in advance, the fee is subject to the amount established by the strata council or allowed in the service agreement with the property manager. Although the property manager is providing the forms service, technically it is the corporation that provides the forms and information.

While everyone is willing to fulfill the rush request, preparing forms on short notice involves a great deal of work and responsibility. Urgent market rates range from $ 200- $ 500, but there is no limit and are subject to strata council approval.

Tony Gioventu is executive director of the Condominium Owners Association. Send an email to [email protected].

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Reference-theprovince.com

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