Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Fundamentals of Real Estate > Unit 8 - Condominiums > Flashcards

Unit 8 - Condominiums Flashcards

1
Q

Condominium means…

A

ownership with others or shared ownership

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What are the 2 parts of condo ownership?

A
  • unit and common property
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What is a unit?

A

a fee simple ownership with a title in the owner’s name

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What is common property?

A

areas with ownership shared by all unit members who are collectively referred to as the condo corp

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Which ‘shared housing’ is not considered a condo? (3)

A
  • Homeowner’s Association
  • Housing Co-ops
  • Timeshares
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What are the 4 residential condo types?

A
  • Apartments
  • Townhouses
  • Semi-attached (aka bungalow villas)
  • Detached (aka single-family)
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What are the 5 recreational condo types?

A

1) Hotel condos
2) Mobile home / RV Park
3) Marina
4) Hangar
5) Equestrian

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What are the 3 types of commercial condos?

A

1) Industrial
2) Retail
3) Mixed Use

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

A condominium is created by registering a ________ with the ___________ office

A

condo plan, Alberta Land Titles

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

__________ is cancelled once the condo plan is registered and a separate title is issued for each unit in the Plan.

A

Title for the property

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Condos have 4 components:

A

1) Unit owners
2) Condo corporation
3) Board of Directors
4) Common Property

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

___________ is a legal entity and consists of all unit owners for the property.

A

Condo Corporation

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

The 7 digits of a Plan number for condos are:
First 2 #s are _________
Third # is __________
Last 4 #s are _________

A

1-2: Year Plan was registered

#3: Land Title Office (1 for Calgary 2 for Edmonton)
#4-7: ID numbers based on order received that year

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Condo Corp Duties:
- Duty to comply with _________
- Duty to Enforce _______
- Duty to manage _______
- Duty to Record and Report to ______

A
  • Legislation, bylaws and governing policies
  • Bylaws and governing policies of condo
  • Common property
  • Board of Directors
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Officers of the Condo Corp include (4)

A
  • President
  • Vice President
  • Secretary
  • Treasurer
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What are the 5 types of meetings of Condo Corps?

A

1) Board Meetings
2) Committee Meetings
3) General Meetings
4) Extraordinary Meetings
5) Annual General Meetings (AGM)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

A new AGM must be scheduled within _______ months of the date that the previous one was held

A

15 months

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Decision making process of the Condo Corp (5 steps)

A
  • Agenda
  • Discussion
  • Motion
  • Vote
  • Decision
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

A _________ refers to the minimum number of individuals eligible to vote that must be present at a condo corp meeting.

A

Quorum

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Decisions agreed upon by the corporation through a vote are called __________. What are the 2 types?

A

Resolutions: Ordinary and Special

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

For Ordinary Resolutions, how many eligible votes makes a majority?

A

> 50%

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

For Special Resolutions, how many eligible votes makes a majority?

A

75%

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

Special Resolutions are required for (6)

A

1) Changing bylaws of corp
2) Changing Condo Plan
3) Using Reserve Fund money
4) Purchasing, leasing or selling common property
5) Terminating condo status
6) Granting an easement or restrictive covenant

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

The portion of financial responsibility assigned to each unit owner for their share of the common property is called a ___________

A

Unit Factor

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

Unit Factor = _______ / _________

A

Unit floor space / total floor space

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

3 purposes for establishing unit factors

A

1) Determine proportion of expenses
2) Define voting rights per each unit
3) Determine fund allocation if condo status terminated

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

A review of the _________ will show if a condo is professionally managed.

A

Condo Additional Plan Sheet (CADS)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

6 Benefits of Professional Condo Management

A

1) Qualifications
2) Experience
3) Compliance
4) Administration
5) Cost-savings
6) Continuity

29
Q

Condo Manager Abbreviations
- CPM
- RPA
- ACCI

A
  • Certified Property Manger
  • Real Property Administrator
  • Associate of the Canadian Condo Institute
30
Q

Condo Manager Duties (9)

A
  • Communicate with Board
  • Maintain records
  • Care for common property
  • Prepare annual budget / finances
  • Negotiate, prepare, administer legal contracts
  • Enforce bylaws and policies
  • Attend Board meetings
  • Get quotes and bids from service providers
  • Deal with owner concerns
31
Q

Authorization from RECA is required for condo managers that get compensation for (2)

A

1) Advertising, offering, negotiating, or performing activities of renting / leasing properties
2) Holding trust funds for rentals/leases

32
Q

_________ are assigned by the court when a condo is being extremely mismanaged.

A

Condo Administrator

33
Q

If unit owners want to rent their condo they must (9)

A

1) Notify corp of intent
2) Provide address for service of notices
3) Notify corp of tenants names (20 days before)
4) Let corp how much rent is
5) Provide deposit to corp
6) Satisfy financial obligations of unit
7) abide by bylaws and policies
8) Notify corp in writing within 20 days of rental termination
9) Not cause damage to common property

34
Q

Unit rentals in a condo are governed by the ___________ and the ________

A

Residential Tenancies Act, Condo Property Act

35
Q

If the total amount of monthly contributions is insufficient to cover expenses, the condo Board of Directors may decide to issue a __________

A

special assessment

36
Q

Total unit factors for each condo in Alberta is _________

A

10,000

37
Q

_________ contains info about the number of monthly condo contributions, the manner of payment, interested owed.

A

The Estoppel Certificate

38
Q

Condo corps have 2 separate trust funds

A
  • Operating Fund
  • Reserve Fund
39
Q

Reserve Fund Process (3 parts)

A

1) Reserve Fund Study
2) Reserve Fund Report
3) Reserve Fund Plan

40
Q

A Reserve Fund study must be conducted and the reserve fund approved within the first _____ years after a condo is created, and repeated every ___ years

A

2 years, 5 years

41
Q

2 Main components of annual condo budget

A

1) Revenue
2) Expenses

42
Q

The condo ___________ shows each unit’s monthly contribution amount for the upcoming year

A

Fee Schedule

43
Q

3 Financial Statements for condo corps

A

1) Balance Sheet (2 - reserve and operating)
2) Income Statement
3) Cash Flow Statement

44
Q

3 Components of a Balance Sheet

A

1) Assets (what they are owed or own)
2) Liabilities (what they owe to others)
3) Equity (leftover result of the above)

45
Q

Balance Sheet formula
_____ = ________ + __________

A

Assets = Liabilities + Equity

46
Q

Cash Flow statement divided into 3 parts

A

1) Operating Activities (used)
2) Investing Activities (invested)
3) Financing Activities (borrowed)

47
Q

Condo Plans are survey plans prepared by __________ to partition a property into units and common areas

A

Alberta Land Surveyors

48
Q

Up to 3 certificates accompany a condo plan

A

1) Certificate from surveyor saying it was made according to legislation
2) Certificate of compliance from municipality
3) Certificate from surveyor stating location of post-tension cables

49
Q

Condo plans can be obtained from (3 sources)

A
  • Board of Directors
  • Condo Manager
  • SPIN
50
Q

4 Types of condo plans

A

1) Conventional condo plan
2) Bare Land condo plan
3) Bare-Land Buildout condo plan
4) Barely Blended condo plan

51
Q

CADS stands for

A

Condo Additional Plan Sheet

52
Q

CADS include (10)

A
  • Legal description
  • Registered name of condo corp
  • Address of condo corp (or condo manager)
  • Number of units
  • bylaws
  • Board of Directors
  • Encumbrances
  • Financial obligations
  • Pending litigation
  • Number of instruments registered
53
Q

Titled parking stalls and Titled storage areas are illustrated using ____ on the condo plan

A

solid, bolded lines

54
Q

Exclusive use parking stalls and exclusive use storage areas are illustrated using ______ on the condo plan

A

Dashed lines

55
Q

Assigned parking stalls and assigned storage areas are illustrated using _______ on the condo plan

A

NOT INDIVIDUALLY ILLUSTRATED

56
Q

Agents can find out what an individual owns in a condo through 4 actions

A

1) Ask the seller
2) Look at the Condo Plan
3) Review property tax bills / municipal tax roll
4) Search in SPIN

57
Q

_________ are a set of directives that guide and govern the affairs and behaviour of the condo corp.

A

Condo bylaws

58
Q

The condo manager / Board of Directors must provide current bylaws within __ days of receiving a written request (same timeline for meeting minutes)

A

10

59
Q

Condo Property Act requires 2 types of insurance

A

1) Liability Insurance
2) Insurance Against Perils

60
Q

Upon written request, condo corp must provide copy of current insurance policy within ____ days and a copy of the certificate of insurance within ____ days

A

30 days, 10 days

61
Q

Management agreements in condos should include:

A
  • Names of parties
  • Property Description
  • Term of Contract
  • Duties and authorities
  • Employees
  • Banking
  • Trust Funds
  • Insurance
  • Compensation
  • Disclaimer
  • Termination Provision
62
Q

__________ is a signed statement from the condo corp confirming financial info regarding a unit.

A

Estoppel Certificate

63
Q

Condo sales are split in 3 categories

A
  • New
  • Conversion
  • Resale
64
Q

New Home Buyer Protection Act requires that condo developers provide buyers with mandatory _________

A

extended warranty coverage

65
Q

Do buyers have to pay GST on resale condos?

A

No, just new and conversions may be subject to GST

66
Q

According to the Condo Property Act, buyers who purchase units created by condo developers have the right of ________

A

recission. (can cancel or rescind purchase contract under certain terms) Must do so within 10 days

67
Q

Which types of condos require an RPR?

A

Bare Land and Bare Land Built-Out

68
Q

To check which parking / storage is included with a condo, consult the…

A

Condo Plan

Fundamentals of Real Estate (19 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions