RE: Disclosure process fails BC condo buyers, says report
The British Columbia Real Estate Association (BCREA) was pleased that you countered this article on the cover of your August 2003 issue, with a constructive article on page 22. However, we would have appreciated balance on the front page even more.
Nancy Bain’s study presents a fairly limited view of problems related to building envelope failure, and I would have been happy to offer the organized real estate perspective. Given the complex nature of strata properties, Realtors have taken several steps to educate themselves and the public.
BCREA offers Realtors two continuing education seminars on strata properties and, later this year, will publish the second edition of The Condominium Manual: A Comprehensive Guide to the Strata Property Act; A Guide for Owners and Real Estate Professionals in BC. Real estate boards in Greater Vancouver, the Fraser Valley and Victoria, the areas most affected by building envelope failure, have also published educational materials for their member Realtors.
Since 1998, Realtors have consistently lobbied government for consumer protection, improvements in building standards and the licensing and registration of home inspectors and strata managers.
In 1997, BCREA introduced the Property Disclosure Statement‑Strata Title Properties (PDS), which requests bylaws, financial statements and 12 months of strata minutes, though Realtors routinely request at least 24 months. This form is not required by law, but is used voluntarily by real estate professionals. By signing this document, sellers assure that the information is accurate and that they have fully disclosed the condition of the property.
Since July 2000, Realtors have also routinely requested a Form B Information Certificate, which is signed by the strata council chair or the strata management company. This is one of the prescribed forms under the Strata Property Act, arising from a recommendation by the Barrett Commission in 1998. The accuracy of Form B’s detailed property information is heavily relied upon by Realtors and buyers, and can be critical to a buyer's satisfaction with their condominium purchase.
If the representations made in the PDS, Form B and strata minutes are accurate, and the documents are reviewed carefully, there should not be any surprises once a property has been conveyed to a buyer.
David Herman
President
British Columbia Real Estate Association
Vancouver
