A status certificate is an official document package from a condo corporation that discloses the finances and legal standing of a unit and its building. The certificate covers the unit's monthly fees and whether they're paid up, the state of the reserve fund, any special assessments or fee increases, lawsuits, insurance, and the rules. Under Ontario's Condominium Act, 1998 and its regulations, the corporation can charge up to $100, including taxes, and must deliver it within 10 days, and buyers usually make their offer conditional on their lawyer reviewing it.
A status certificate is the closest thing a condo buyer gets to a home inspection of the building's finances. A unit can be in perfect shape while the building behind it needs millions in repairs it hasn't saved for.
What's in a status certificate
A status certificate is a standard form, available from the Condominium Authority of Ontario (CAO), signed by the condo corporation, with a stack of documents attached. Under section 76 of Ontario's Condominium Act, 1998, the certificate has to include:
- The unit's common expenses, which is the legal name for condo fees, and whether the unit is behind on them
- Any increase in common expenses the corporation knows about, and the reason
- Any special assessments levied since the current year's budget, and why
- A statement on the reserve fund (the corporation's savings for major repairs): its balance, the most recent reserve fund study and any plan to increase contributions
- Any lawsuits or unpaid judgments involving the corporation
- Certificates of insurance for the corporation's current policies
- The names and addresses for service of the directors and officers
- The declaration, by-laws and rules, which set out what you own, what you pay and what you can and can't do (pets, rentals, renovations)
- The current budget and the last audited financial statements, with the auditor's report
Anyone can request one, not just a buyer. The documents run long, often a hundred pages or more, which is why a lawyer reviews it rather than the buyer reading it alone.
How to order one: cost and delivery time
A status certificate is ordered from the condo's property management company or the corporation itself, usually by the buyer's agent or lawyer once an offer is accepted. Some sellers order one in advance and make it available to buyers.
| Rule | |
|---|---|
| Maximum fee | $100, including taxes and materials |
| Delivery deadline | Within 10 days of the request |
| Faster delivery | Allowed for an extra rush fee, but the $100, 10-day option must be offered |
| Who can request one | Anyone |
The $100 cap is set by Ontario regulation (O. Reg. 48/01 under the Condominium Act, 1998) and has stayed at $100 for years; industry groups have asked the province to raise it. Check the current amount before relying on it.
If the corporation doesn't deliver within the deadline, the Act treats it as having given a certificate stating that the unit isn't behind on its fees and that no fee increase or special assessment is planned. Either way, a status certificate binds the corporation in favour of a buyer or lender who relies on it.
The binding effect matters. According to the CAO, in a 2023 decision an Ontario court found that a buyer didn't have to pay their share of a special assessment because the status certificate hadn't clearly disclosed that it might be coming. The details of your own situation are a question for your lawyer.
Red flags to look for
Most status certificates are routine, but these items deserve a second look, and a question to your lawyer:
A low or underfunded reserve fund
The reserve fund is the corporation's savings account for major repairs and replacements: roofs, windows, elevators, parking garages, balconies. If the reserve fund study says the fund is short, owners will make up the difference, through higher fees, a special assessment, or both.
Planned fee increases
A status certificate must disclose known increases in common expenses. A big jump in next year's budget, or a funding plan that raises reserve contributions sharply, changes what the unit costs to carry. See condo fees in Waterloo Region for what's typical here.
Special assessments, levied or coming
A special assessment is a one-time charge billed to owners on top of regular fees. Look for any already levied on the unit, and read the board minutes and the reserve fund section for hints that one is being discussed. Read the special assessments guide →
Lawsuits
Litigation involving the condo corporation is disclosed in the status certificate. A lawsuit against the builder over construction defects can mean big repairs ahead; a lawsuit against the corporation can mean legal costs that owners end up funding.
Insurance deductibles
Check the corporation's insurance deductibles and its by-laws on who pays them. Many corporations have a by-law that makes the owner of the unit where the damage started responsible for the deductible, and deductibles for water damage can be large. Ask your insurance broker whether your own condo policy would cover that amount.
Kitec plumbing and other known building issues
The certificate won't always flag building-wide problems like Kitec plumbing, a pipe system with brass fittings that can corrode and leak, installed in many homes and condos built about 1995 to 2007. Ask whether the building has it and whether it has been replaced. Read the Kitec guide →
Rules that don't fit your plans
The declaration and rules can restrict pets, short-term rentals, leasing, flooring changes and more. If you plan to rent the unit out or bring a large dog, check before you're committed.
Reading the reserve fund study
A reserve fund study is a professional forecast of every major component the corporation will need to repair or replace, when, and what it will cost, projected at least 30 years ahead. Under Ontario's Condominium Act, 1998, a corporation needs a full study within the first year after it is registered, then updated studies at least every three years.
After each study, the board has 120 days to propose a funding plan and must send owners a Notice of Future Funding of the Reserve Fund within 15 days of proposing it. The notice shows the planned contribution increases for the next few years, and it's one of the most useful pages in the package.
Things to look for:
- The year of the most recent study. If it's more than three years old, ask why.
- Planned contribution increases. Steep increases in the next few years mean fees are likely to rise.
- Big-ticket items coming due. A roof, garage membrane or window replacement in the next five years, with a thin fund, is where special assessments come from.
- Whether the board is following the plan. The status certificate states whether contributions match the study's recommendation.
Making your offer conditional
On a resale condo, buyers usually include a condition in their offer that it becomes firm only after their lawyer has reviewed the status certificate and attachments and is satisfied. If the review turns up a problem, the condition gives you a way out within the time it allows.
Leave enough time. The corporation has 10 days to deliver, and your lawyer needs a few days to read it, so a short condition period may not work unless the seller already has a recent certificate. Your agent and lawyer can set the wording and timing; how much risk you accept is your decision.
Buying a new condo from a builder is different: you get a disclosure statement instead of a status certificate, and a 10-day period to back out under the Condominium Act. New buildings also come with a Tarion warranty on the unit and common elements. Read the Tarion guide →
The status certificate fee is one of several costs before and on closing. See the full list of closing costs →