A few days after your offer is accepted, a PDF arrives from your lawyer’s office. It runs from dozens to more than a hundred pages. The title is “Status Certificate”. If you lift your condition before reading it, you buy not only your unit but the whole building’s finances and lawsuits too.
This post explains, for buyers of resale condos, the order in which to read this package and what to ask your lawyer, based on the Condominium Act and guidance from the Condominium Authority of Ontario (CAO). It is general information, not legal advice; always review the real document with a lawyer.
The answer first: the numbers and rules in the law
| Item | Rule | Source |
|---|---|---|
| Who can request it | The corporation must give one to anyone who asks. The law does not say who orders or pays; agree it in the offer or with your lawyer | Condominium Act s. 76 (1), CAO |
| Fee | Maximum $100 (including taxes and all material the law requires in it) | O. Reg. 48/01 s. 18 (4) |
| Deadline | Within 10 days after the request and the fee are received | Condominium Act s. 76 (3) |
| If it is late | The corporation is deemed to have certified, the next day, “no arrears, no fee increase, no reserve fund assessment” | s. 76 (5) |
| Reserve fund balance | The amount as of a month-end within 90 days of the certificate’s date | s. 76 (1) (m) |
| Legal effect | It binds the corporation, as of its date, toward a buyer or mortgage lender who relies on it | s. 76 (6) |
- $100Fee cap — including taxes and the material the law requires (O. Reg. 48/01 s. 18 (4))
- 10 daysDeadline after the request and fee are received (Condominium Act s. 76 (3))
- 90 daysThe reserve fund balance is as of a month-end within 90 days of the certificate (s. 76 (1) (m))
- 3 yearsA new reserve fund study is due within 3 years of the last one (O. Reg. 48/01 s. 31 (3))
One comparison: a status certificate is the building’s medical check-up report. It records the building as of one date, so an old one misses whatever happened since.
Offer conditions and dates: when it arrives, how long you have
- Put a “status certificate review condition” in your offer. The law does not say who orders or pays for the certificate, so agree it in the offer or with your lawyer. How many days the buyer has to review it is set by the wording of the contract.
- Check whether the review period counts “from the day you receive it”. The corporation may take up to 10 days after the request and fee, so if the period counts from acceptance of the offer, the papers may arrive late and leave you little time to read.
- When the package arrives, your lawyer reviews all of it. Read it yourself too, using the order below, and write down your questions.
- If you are satisfied, send a notice of fulfillment or a waiver before the deadline and the deal is firm. If there is a problem, end the deal within the deadline under the condition’s wording. In a conditional offer, the deposit is usually returned once both sides sign a mutual release.
- When you sign for a pre-construction condo, the corporation does not exist yet, so there is no certificate to get. According to the CAO, that information is in the developer’s disclosure statement.
What is inside: read it in this order
These are the contents set by s. 76 (1) of the Act and s. 18 (1) of the regulation, grouped in a reading order that puts money first.
| Order | Where to look | What to check |
|---|---|---|
| 1 | This unit’s fees, arrears and liens | Any unpaid fees, and whether a certificate of lien is registered. s. 76 (1) (a), reg. s. 18 (1) (c) |
| 2 | Changes since this year’s budget | Any fee increase declared and why, any assessments levied on the unit (for the reserve fund or the operating fund) and why, and anything the corporation knows that may raise fees. s. 76 (1) (b), (c), reg. s. 18 (1) (e), (f) |
| 3 | Reserve fund | The latest reserve fund study and updates, the balance, and the plan to increase the fund and whether it is being carried out. s. 76 (1) (m), reg. s. 18 (1) (g), (h) |
| 4 | Judgments and lawsuits | Outstanding judgments against the corporation and the status of every legal action it is a party to. s. 76 (1) (h) |
| 5 | Budget and audited financial statements | A statement that this year’s budget is accurate and any expected surplus or deficit, plus the most recent audited financial statements and auditor’s report. s. 76 (1) (i), reg. s. 18 (1) (d) |
| 6 | Insurance | A certificate for each current policy, and whether all insurance required by law is in place. s. 76 (1) (p), reg. s. 18 (1) (j) |
| 7 | Declaration, by-laws and rules | Whether the pet, rental, renovation and parking rules fit your plans. s. 76 (1) (f) |
| 8 | Everything else | The list of current agreements, major changes the board has proposed but not made, the number of units the corporation was notified were leased in the last fiscal year, and whether a court has appointed an inspector or administrator. s. 76 (1) (j), (n), (o), (r) |
Reserve fund: look at the gap from the plan, not the size
“If the reserve fund holds millions, the building must be healthy, right?” Not necessarily. The reserve fund is money used only for major repair and replacement of the common elements and assets of the corporation (Condominium Act s. 93 (2)). Bigger and older buildings need more. So compare the balance with what the reserve fund study planned, not with a round number.
A reserve fund study is a report in which an expert estimates when parts of the building, such as the roof, elevators and garage, will need major repairs and what they will cost. According to the CAO it includes a funding plan for at least 30 years, and under the regulation a new study is due within 3 years of the last one. The board must propose a funding plan within 120 days of receiving a study and notify owners within 15 days after that (s. 94 (8), (9)).
The certificate includes a copy of that notice, whether the board has carried out the plan, and if not, why not. If no notice has been sent yet, it includes the balance at the start of the year, this unit’s yearly reserve contribution, what the board expects to spend this year, and whether the board expects the fund to be adequate this year (reg. s. 18 (1) (g), (h)).
The audited financial statements must also compare the reserve contributions actually collected and the money actually spent with the amounts in the board’s funding plan (s. 94 (8)) (reg. s. 16 (3)). A shortfall against the plan shows up there.
| Building | Amount |
|---|---|
| Building A: this year’s balance in the study’s plan | $2,400,000 |
| Building A: actual balance | $2,350,000 |
| Building B: this year’s balance in the study’s plan | $2,400,000 |
| Building B: actual balance | $1,500,000 |
A hypothetical example, not a real building. Both buildings hold millions of dollars, but Building B is $900,000 short of its plan. If its 200 units covered the gap with a special assessment, that would average $4,500 per unit. Each owner’s real share follows the proportions in the declaration.
Special assessments and fee increases: money still to come
A special assessment is a one-time charge on top of your regular fees. According to the CAO, the board can levy one without the owners’ permission (but if the declaration or by-laws have rules on special assessments, the corporation must follow them), each owner’s share uses the same percentage as the common expenses, and if you do not pay, the corporation gets a lien on your unit. Common reasons are surprise breakdowns, repairs that cost more than budgeted, and legal costs.
The certificate is not limited to charges already made. Under s. 18 (1) (f) of the regulation it must also state what the corporation knows of any circumstances that may increase the unit’s fees. The CAO describes a Superior Court of Justice decision in which a buyer in a Waterloo condo did not have to pay their share of a special assessment because the corporation had not clearly disclosed that possibility in the certificate.
“Who pays an assessment that has already been levied?” It depends on when it is due and what your contract says. Check with your lawyer when you write the offer and again after the certificate arrives.
Lawsuits, insurance and rules: risks beyond the numbers
- Lawsuits: the certificate lists outstanding judgments against the corporation and the status of every legal action it is a party to (s. 76 (1) (h)). If the corporation loses, the cost can come back as a special assessment. An amendment, clause (h.1), that would also require the financial implications of lawsuits is in the Act, but in the e-Laws consolidation current to 2026-10-27 it is not yet in force.
- Liens: if an owner does not pay their fees, the corporation has a lien on that unit, which expires after 3 months unless a certificate of lien is registered (s. 85 (1), (2)). If one is registered, your lawyer checks that the seller clears it before closing.
- Insurance: if an insurance certificate is missing, or the certificate says not all required insurance is in place, ask right away.
- Court orders: a note that a court has appointed an inspector or administrator (s. 76 (1) (r)) can be a sign of serious problems in how the building has been run (opinion).
- Rules: you are a better judge than your lawyer of the pet, minimum lease, renovation and smoking rules (opinion). Read them yourself to see if they fit your life.
- Number of leased units: the certificate gives the number of units the corporation was notified were leased in the last fiscal year (s. 76 (1) (o)). That is not a problem in itself. Ask your mortgage lender whether it affects your loan.
“My lawyer reads it all. Do I need to know this?”
Your lawyer looks for legal risk. But only you know whether the monthly fee fits your budget, whether your dog is allowed, or whether you can rent the unit out later. And in a bidding war you may be pushed to drop this condition. You should know what you are giving up when you decide (opinion).
A thick package looks thorough, but thickness is the amount of paper, not information. Read items 1 to 4 in the table above first, and go through the rest with your lawyer’s summary.
Common mistakes, and what to do today
- Trusting an old certificate — it speaks as of its date. Later assessments or lawsuits are not in it, so your lawyer may ask for a fresh one.
- Paying more than $100 for the certificate itself — $100 is the cap, including taxes and the material the law requires in it. If you are asked for more, check with your lawyer or the CAO.
- Thinking the certificate covers the inside of the unit — the condition inside your unit is generally not covered. See the unit yourself and get a home inspection if needed.
- Looking only at the size of the reserve fund — look at the gap from the study’s plan, and whether the board is carrying out the plan.
In short, a status certificate tells you whether you are buying the whole building’s wallet and lawsuits along with your unit. One thing to do today: before you write an offer, check that the review period counts from the day you receive the certificate.
Sources (open the originals)
- Condominium Act, 1998, s. 76 (status certificate), s. 85 (lien), ss. 93–94 (reserve fund and study) — e-Laws — checked Oct 30, 2026
- O. Reg. 48/01 (General), s. 16 (reserve fund comparison in financial statements), s. 18 (certificate contents and fee), s. 31 (timing of reserve fund studies) — e-Laws — checked Oct 30, 2026
- Condominium Authority of Ontario, Status certificate — checked Oct 30, 2026
- Condominium Authority of Ontario, Reserve Funds — checked Oct 30, 2026
- Condominium Authority of Ontario, Special Assessments — checked Oct 30, 2026
About the author
Joonghyun Ahn is a Sales Representative with HomeLife Frontier Realty Inc., Brokerage, based in Thornhill and serving the whole GTHA. Every post is general information, not legal, tax or financial advice. Check with a professional before you decide.