Buying a Strata Home in BC: Form B, Strata Fees and the Depreciation Report

What is a strata Form B in BC?

The Form B is the Information Certificate under section 59 of the Strata Property Act. Any owner, buyer or their agent can request it, and the strata corporation must provide it within 7 days. The fee is capped at $35 plus up to 25 cents a page for copies.

It is the strata’s own statement about that specific unit and the corporation as a whole, as of the date it is issued. Because it is a snapshot, ask for a fresh one if your purchase runs long, and read it against the minutes rather than on its own.

Strata fees: what they cover and why they rise

Strata fees fund the building’s operating budget and its contingency reserve fund. They usually pay for the building insurance, common area maintenance and repairs, landscaping and snow clearing, garbage, management, and the yearly contribution to the reserve fund. Some buildings also include gas, hot water or amenities. Each owner pays a share based on their unit entitlement, which is why 2 units in the same building can pay different fees.

There is no legal cap on how much fees can rise. The owners approve the budget, and therefore the fees, by majority vote at the annual general meeting. 2 rule changes have pushed fees up in many buildings: the higher minimum reserve fund contribution since November 2023, and rising building insurance costs.

A low fee is not automatically good news. A fee kept artificially low can mean a thin reserve fund, which is how owners end up with a special levy when the roof or the building envelope is due.

The contingency reserve fund

The contingency reserve fund, or CRF, is the strata’s savings account for repairs that do not happen every year: roofs, windows, boilers, elevators, paving, the building envelope. Since November 1, 2023, every strata must contribute at least 10% of its annual operating budget to the CRF, every year, regardless of how much is already in it. Before that the minimum was 5%.

When the fund cannot cover a repair, the strata raises the money with a special levy, approved by a 3/4 vote of the owners and billed to each owner by unit entitlement.

The depreciation report: now mandatory

A depreciation report is a professional study of every major part of the building, how long each has left, what it will cost to replace, and how the strata could fund it. For years owners could vote each year to skip it. That ended on July 1, 2024: stratas with 5 or more lots must now get a depreciation report at least once every 5 years, with no waiver. Since July 1, 2025 the report must be prepared by a qualified professional such as an engineer, architect, accredited appraiser or certified reserve planner.

Stratas in Metro Vancouver and the Fraser Valley that had no report, or only one dated before December 31, 2020, had until July 1, 2026 to get one. New stratas created from July 1, 2024 have 2 years from their first annual general meeting.

Rentals, age limits, pets and other bylaws

Since November 24, 2022, a strata corporation cannot restrict owners from renting out their units, and existing rental ban bylaws are unenforceable. Stratas can still restrict short term stays such as nightly rentals, and landlords must still give the strata a Form K for their tenants. Age restriction bylaws are only allowed if the minimum age is 55 or older.

Pet bylaws are still allowed and vary building to building, from limits on number and size to outright restrictions, so check them before you fall for a unit. The same goes for bylaws on renovations, flooring, barbecues on balconies, parking and moving days.

What to read before you remove subjects

Your offer should include a subject for reviewing the strata documents, with enough days to actually read them. This is the order Shawn Kandola works through them with a buyer before an offer goes firm.

1. 1

   The Form B

   Fee, arrears, approved and proposed levies, CRF balance, lawsuits, parking and storage.

2. 2

   2 years of minutes

   Council meetings, annual and special general meetings. Look for leaks, envelope or roof work, insurance claims, disputes and any talk of a levy or loan.

3. 3

   The depreciation report

   The repairs due in the next 5 to 10 years against the CRF balance and contribution.

4. 4

   The insurance summary

   The building’s deductibles, especially for water damage, so your own condo insurance covers your share.

5. 5

   Bylaws and rules

   Pets, rentals, renovations and parking, checked against how you plan to live there.

6. 6

   The budget and financial statements

   Whether fees are covering costs, and whether the CRF contribution meets the 10% minimum.

Frequently asked questions