HOW DOES STRATA WORK
A strata corporation is made up a small selection of homeowners in the community. This is
under the guidance of a professional management company, and together they oversee
the needs of the community. As part of the pre-sale process, the developer will provide an
overall strata budget, that gets voted in once the strata council is formed. Developers are
also required to start off the budget with a surplus of money in a contingency reserve fund,
so there is a cushion for the homeowners in the event of an emergency.
WHAT DO MOST STRATA FEES COVER?
Are you tired of gutter cleaning? Reaching those upper level outside windows? One of the perks of strata living, is that it is virtually maintenance free! Typically, your strata will have a professional company that takes care of all those details. It’s as simple as finding a notice at your door with a heads up to keep your windows closed on a certain date so they can do some pressure washing and voila! You don’t have to think about it for another year. Most also include snow removal – imagine never having to shovel again!
Is lawn care getting old? Don’t want to prune your trees every year? Donate that weed wacker because you don’t need it any longer. Most strata living will take care of all lawn maintenance and land scaping. Just check your strata manual – sometimes they may just ask you to water, but that’s easy! If you are a plant lover, don’t fret – you can still keep potted plants on your patios and backyards.
Sometimes there is a misconception that you require home insurance on top of paying strata fees. While this is true, it is only liability and content insurance which is fairly low cost. Your strata fees cover your building insurance. Should you make any improvements inside your home (for example, a living room built-in), you will just need to cover those on your own.
Each strata corporation is managed by a professional company. This means, there is always care and attention to your home and communities’ needs being met by a professional. Each year, they help facilitate the strata budget and assist the collective homeowners to make sure everything is running smoothly.
There are additional items not mentioned in this list, such as amenity spaces, common areas, and depending which municipality can include hot water, garbage pickup etc. It can also vary in the type of dwelling you are in, be that a condominium or townhome.
REMEMBER: In any new construction purchase, you are provided the opportunity to review the strata budget in the disclosure statement so you can see exactly where the funds are being allocated prior to committing to the purchase. Developers don’t get to make up these numbers, they are carefully chosen under advisement of a professional management company.