If you are considering purchasing a condominium, co-ownership, or a co-operative housing unit, an essential part of the process involves obtaining and reviewing a Status Certificate (formerly known as an Estoppel Certificate). I get a lot of questions about Status Certificates, and some of the more routine ones are:
TOP QUESTIONS ABOUT STATUS CERTIFICATES
1.What is a Status Certificate?
2.Why is this information important?
3.What if the Status Certificate is not satisfactory?
4.Who should review the Status Certificate?
5.What happens if the Status Certificate is not provided as required by the legislation, i.e. within 10 days after receipt by the Property Manager of a written request and payment of the $100.00 fee?
6.What issues must be addressed in the Status Certificate?
7.What documents must be contained with the Status Certificate?
8.What does it all mean?
9.What if the Status Certificate is not satisfactory?
10.What is the “bottom line”?
If you are thinking of buying a condominium, co-ownership, or co-
operative, insist on your agent inserting a condition in the Agreement requiring the seller to provide you with a current Status Certificate package at the Seller’s own expense.
The condition should also state that you have three business days after receiving it to review it, the Certificate must be satisfactory to you and your lawyer in your sole discretion.
My advice: DO NOT RELY ON A CERTIFICATE for another unit in the same building!! DO NOT RELY ON AN AGENT saying that another agent had a recent transaction in the same condominium building and it was satisfactory!!