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FAQ

FAQs, Depreciation Reports

  • On December 14, 2011 the provincial government brought into effect regulations requiring strata corporations in BC to obtain Depreciation Reports by December 12, 2013 and update the reports every three years. Strata corporations with less than 5 strata lots are not legally required to obtain a Depreciation Report. Strata corporations may also waive the legal requirement to obtain a Depreciation Report by passing an annual 3/4 vote.
  • On February 28, 2013 the province passed Order-In-Council number 090 that requires any strata corporation formed after December 14th, 2011 to obtain its first Depreciation Report within 6 months of the date of the strata corporation’s second annual general meeting.
  • The legislation includes all forms of strata corporations including bare-land, residential, commercial, industrial and mixed use.
  • Based on the findings of the Depreciation Report our Certified Reserves Planner will make recommendations and present your strata with multiple funding models. The option to increase funding to the contingency reserve fund, and to what level, always remains the decision of the strata corporation.

FAQs, 2-5-10 Warranty

It is prudent to address any warranty concerns as early as possible since there are various timelines with specific coverage. The following is an overview of what is covered for the common property of strata corporations.

  • 15 Month- Covers any defects in materials and labour or violations of the Building Code (subject to conditions).
  • 24 Months- Covers defects in materials and labour supplied for electrical, plumbing, HVAC, as well as for the exterior cladding, caulking, doors and windows (some limits apply) and violations of the Building Code (subject to conditions).
  • 5 Year- Covers building envelope defects, this includes the components that separate the indoors from the outdoors including the foundation , roof , windows and doors including a defect that permits unintended water penetration such that it causes, or is likely to cause, material damage to the new home.
  • 10 Year- Covers defects in material and labour that result in the failure of load bearing parts of the new home.
  • Your individual unit coverage is separate from the common property warranty coverage. Defects in material and labour for individual units are covered for 12 months from the earliest date of either first occupancy or the date of transfer of legal title to first owner.

Please note that the answers provided here are brief in nature and provide an overview of the related legislations. For more information about Depreciation Reports and 2-5-10 Home Warranty visit the following useful links: