Strata Property Act and Regulations update – Vancouver Real Estate News 2013
Since 2009, the BC government has introduced amendments to the Strata Property Act and Regulations at varying intervals.
Amendments address issues and concerns identified in a province-wide consultation with strata owners, associations, legal experts and professionals including REALTORS®.
Five important amendments
1. Depreciation Reports
Depreciation reports will be mandatory as of December 13, 2013 for all strata corporations and must be prepared by a qualified person and updated every three years, unless the strata has:
- four or fewer units; or
- five or more units where the strata exempts itself through an annual 3/4 vote. Strata corporations formed after December 14, 2011, must file a depreciation report within six months of their second AGM.
2. Form B (Information Certificate)
Form B is revised. Copies of the strata corporation rules, the current budget, the most recent depreciation report and Form J (the Rental Disclosure Statement) must now be attached to Form B. As of January 1, 2014 strata corporations must identify the allocation of parking and storage lockers on a new Form B.
Learn more by reading the Condominium Home Owners Association of B.C.’s (CHOA) bulletin What you need to know about: Parking Spaces and Storage Lockers January 1, 2014 at www.choa.bc.ca/_resources/600-001_Parking_Storage_Lockers.pdf
3. Contingency Reserve Funds
By a majority vote, strata corporations can approve additional contributions to the contingency reserve fund even if the amount in the fund exceeds 25% of the operating budget. Previously, a 3/4 vote was required.
4. Dispute Resolution
Strata corporations, owners and tenants will be able to settle disputes that arise in strata corporations through a Civil Resolution Tribunal system which is currently being developed.
5. Form J (Rental Disclosure Statement)
Owner Developers must provide prospective buyers with Form J – the Rental Disclosure Statement – which is filed with the Superintendent of Real Estate if the Owner Developer plans to rent or preserve the right to rent any residential unit, regardless of any subsequent rental restriction bylaw. The effect of the Form J depends on when it was filed.
- For Rental Disclosure Statements filed on or before December 31, 2009 a lot that has been designated as a rental lot by the Owner Developer on Form J remains eligible as a rental lot (regardless of rental restriction bylaws) until the lot is either conveyed by the first purchaser or the date the rental period expires on the Rental Disclosure Statement, whichever comes first. This means a purchaser who buys the strata lot from someone other than the Owner Developer does not have the right to rent the strata lot if there are rental restriction bylaws.
- For Rental Disclosure Statements filed on or after January 1, 2010 the ability to rent a strata lot will be established at the time of the filing by the Owner Developer. A strata lot eligible as a rental remains designated as a rental until the date the rental period expires on the Rental Disclosure Statement and is not affected by any subsequent rental restriction bylaws. This means the right to rent a strata lot continues from one purchaser to the next, so long as the rental period on Form J has not expired.
- Learn more by reading Guide 15: Rentals Permitted within Strata Corporations at www.housing.gov.bc.ca/pub/stratapdf/Guide15.pdf
If you have any real estate questions, please feel free to contact me James Louie Chung, Metro Vancouver REALTOR® – Real Estate Agent at firstname.lastname@example.org
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