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The Importance of Status Certificate in Buying a Condo

Status certificate

When it comes to the financial security of a condo unit, you need to have a summary of everything that is associated to it. This is the reason why you need to obtain a status certificate. If you are going to purchase a condo unit in Toronto, it is very important to have a status certificate. It will help you to lighten your duties that you are going to take when you are buying a new home. This is one of the most important task you need to understand especially when it comes to the potential of your new home plus it will also offer assistance on how to cover all your bases.

 

Having a status certificate will offer you financial security and this is very important course in the buying procedure of a condo unit particularly if you are going to purchase a resale condo unit. This will help you to secure you against unpleasant surprises and issues regarding the condo unit since it contains necessary facts and records/documentation about the financial well-being of a condo. Aside from that, it also includes records regarding the board and management of the condo building. Normally, it comprises all the required information including the rules, regulation or the laws/guidelines of the condo plus the insurance facts. Status Certificate also covers financial statements as well as the analysis of the state of the reserve fund. Reserve fund is very essential when you are going to purchase a resale condo.

 

Status certificate is responsible in providing all the basic and necessary information regarding the financial status of a condo unit and the property management company of the condo. The main focus of this certificate is to notify or update a potential owners about the fees or any huge increased that could affect the buying process. Aside from that, status certificate also includes maintenance fees, reserve fund, insurance information, management agreement, rules and regulation, pending lawsuit against the condo’s property management company, condo declaration and a lot more. The main objective of status certificate is to permit potential buyers to have all the required and necessary information plus the financial and physical situation of the condo building. In addition, it will also let probable buyer to know the rules concerning pets and other issues that could affect you.

 

To obtain this kind of certificate, it is extremely necessary to make written requests to the property management company of the condo. Today, there are plenty of company who offer this kind of service and typically, the condo’s property management company have at least 10 days to provide you the document. In some cases, the seller’s agent speeds up the process of obtaining a certificate. The board are responsible for the status certificate as well as to the cooling off period, closing costs, occupancy fees and other fees that concern your condo unit. However, management companies are the one who prepared for this certificate so some board members are not aware of this duty.

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