When you purchase a resale condominium, it is extremely important to request the estoppel certificate. It is a signed statement from the condominium corporation that provides the following information:
- the current condominium contributions (also known as condo fees) for the unit;
- the payment schedule for contributions (usually monthly or yearly);
- whether any contributions are unpaid; and
- any interest owing on unpaid contributions.
Unpaid condominium contributions carry with the unit, not the owner. If you purchase a unit with outstanding contributions, you will be responsible for paying them.
If there are unpaid contributions, you may want to talk to your lawyer or real estate agent about asking the seller to deduct the outstanding fees and interest from the purchase price.
Centre for Public Legal Education Alberta – Before You Buy: Understanding Condo Finances