Welcome to Condo’s Corner

by Daulton Read, OLCM

Issue #003

Get ready for a weekly dive into condo living like never before with Condo’s Corner. Speaking from my perspective as a Condo Manager, my goal is to entertain and provide valuable management insights and stories that can help you live your condo life a bit better—all with a little bit of wit, charm, and practicality.

What’s Happening This Week?

What is a condo board, and what do they do?

What to ask before buying a condo!

Send those questions in!

Manager’s Memo: The Crucial Role of Condo Boards

Ever wonder who steers the ship in your condo community? Look no further than the Board of Directors—they’re the unsung heroes who make sure your condo runs like a well-oiled machine.

Understanding the Board’s Duties

In the realm of condo governance, board members are the guardians of your condo’s well-being. Despite their volunteer status, they shoulder hefty responsibilities, safeguarding the interests of all owners, future owners, and residents alike. They are the true decision-makers.

It may come as a surprise to many, but your condo’s financial, operational (and political) health rests in their hands. Section 27 (1) of the Condo Act, states that “the role of the condominium board is to manage the affairs of the condominium corporation”. So you name it… from managing annual operating budgets to overseeing reserve funds and capital projects, they’re the people ensuring your investment stays secure. And it’s not just about dollars and cents—they’re also tasked with enforcing the Condo Act, declaration, by-laws, and rules, maintaining the sanctity of your condo community.

But it’s not just numbers—the human touch matters too. Boards address residents’ concerns, ensuring their needs are met and their voices heard. Clear communication is key, keeping owners in the loop and fostering trust.

The Anatomy of a Board

Boards are usually made up of three to five volunteer directors who are generally elected by unit owners to oversee the affairs of the condo corporation. The process for electing directors depends on your condo’s bylaws and rules, but generally speaking, candidates are elected by other owners during the AGM or annual meeting. That’s right, other owners of the building put these directors in place.

A Tale of Two Boards: Good vs. Bad

Now, let’s talk about what sets a good board apart from a bad one. A good board is like a well-oiled machine, with transparency, accountability, and diligence at its core:

A Good Board:

– Communicates Proactively: Regular updates, newsletters, and digital bulletin board postings keep residents informed and engaged. They listen to concerns and act on suggestions, fostering a sense of community.

– Enforces Rules Consistently: Fairness is paramount. They lead by example, following and enforcing condo rules without bias or favouritism.

– Exercises Due Diligence: When it comes to contracts and maintenance, they leave no stone unturned. Seeking multiple quotes, they ensure the best solutions at the best prices, always putting the condo’s interests first.

– Examines Finances: Every dollar counts. They manage finances responsibly, prioritizing the condo’s long-term sustainability.

But alas, not all boards are created equal. A lousy board can sow discord and invite problems:

A Bad Board:

– Lacks Communication: Rarely engages with residents and brushes off legitimate concerns, leading to frustration and discontent.

– Dismisses Complaints: Instead of addressing issues, they resort to dismissiveness or threats, creating a hostile environment.

– Misuses Funds: They rubberstamp decisions, overspend on unnecessary upgrades, and refuse transparency, eroding trust and accountability.

Being a director can be incredibly rewarding, but let’s not sugarcoat it—it can also be challenging. Tough decisions need to be made, and inevitably, residents will oppose them. Yet, despite the challenges, the dedication of condo board members keeps your community afloat and oversees your home and investments.

So, the next time you pass your condo’s board members in the hallway, give them a nod of appreciation. They may be unsung, but their commitment and resilience keep your condo ship sailing smoothly through the seas of community living.

Q&A Corner: You Asked, I Answer

This week’s question comes from Mark D., and he asks, “What are the most important questions I should ask my realtor before buying a condo?”

Great question Mark, and here are some of the key questions that I would be asking before purchasing a condo.

1. What are the condo fees, and what do they cover?

It’s crucial to understand condo fees and what they cover because they directly impact your monthly expenses and the overall affordability of owning a condo. Knowing what amenities, services, and maintenance costs are included in the fees helps you assess the value proposition of the condo and budget effectively for your living expenses.

2. What are the condo rules and by-laws?

Knowing the regulations and restrictions within the condo community can prevent surprises and ensure your lifestyle aligns with the condo’s governing documents. Can you rent out your unit? Can you plant flowers? Can you have a dog? Find out.

3. What is the financial health, particularly the Reserve Fund, of the condo corporation?

A healthy reserve fund is important because it serves as a financial safety net for unexpected expenses and major repairs within the condominium community. It ensures that sufficient funds are available to cover large-scale projects without imposing sudden, significant fee increases or special assessments on unit owners.

4. What are my maintenance and repair responsibilities?

Usually, you will be required to cover the maintenance and repair within your own unit, and the Corporation will cover the common areas. However, it’s wise to double-check to make sure you aren’t responsible for more or less maintenance than you want.

5. What is the reputation of the condo management and board?

Researching the management company and board members can provide insights into their responsiveness, effectiveness, and overall management of the condo community.

6. What is the ratio of owners to renters?

As a purchaser, you want a high ratio of owners to renters. A building with fewer owner-occupied units may be a riskier investment since it might make it undesirable. Generally speaking, owners living in the building take better care of the unit and surrounding areas, follow the rules, and are easier to deal with.

Do you have a condo tale to tell or burning questions about condo living? Don’t be shy—share them with me! Whether it’s a funny story, a management mystery, a celebratory story, or just a nightmare, we’re all ears. Just reply to this email and share it with me!

Make sure to share this newsletter with your friends, family, and, more importantly – that neighbour who could learn a few things!