The status certificate is the one document that will give prospective buyers details of the financial and legal circumstances of both the condominium building and the particular unit they are interested in. A status certificate is also an important document for those lending money to finance the condominium unit.
In almost all cases, buyers and lenders will order a status certificate as it will disclose additional or unanticipated liabilities. In fact, many prudent vendors will also order a status certificate when they lit their unit. By doing this. they have it readily available to give to a purchaser who is keenly interested in the unit. Although it will have to be updates to assure he purchaser that there are no changes since the time of the issuing of the status certificate, much of the information will remain the same and is available to help the purchaser make a faster decision.
As mentioned, a status certificate will include information regarding increases in the common expenses and if the building is being sued, as well any large expenditures for repairs. A buyer should pay particular attention to the reserve fund of the condominium corporation and ensure that there are sufficient funds to cover any ongoing maintenance and repair of the condominium's major capital items.
In almost all cases, buyers and lenders will order a status certificate as it will disclose additional or unanticipated liabilities. In fact, many prudent vendors will also order a status certificate when they lit their unit. By doing this. they have it readily available to give to a purchaser who is keenly interested in the unit. Although it will have to be updates to assure he purchaser that there are no changes since the time of the issuing of the status certificate, much of the information will remain the same and is available to help the purchaser make a faster decision.
As mentioned, a status certificate will include information regarding increases in the common expenses and if the building is being sued, as well any large expenditures for repairs. A buyer should pay particular attention to the reserve fund of the condominium corporation and ensure that there are sufficient funds to cover any ongoing maintenance and repair of the condominium's major capital items.