What Is a Form B Information Certificate in a BC Strata Sale?

You have found a condo or townhouse and someone hands you a Form B. Or you are selling and your agent says you need to order one. Either way, it is a dense form, and the numbers in it can change what the home really costs to own.

This article explains in plain words what a Form B Information Certificate is, what it discloses, how quickly it must be produced, and what should make you stop and ask questions before you remove subjects.

This article covers the law of British Columbia.

What a Form B is and who can ask for it

A Form B is an Information Certificate issued by the strata corporation. Under section 59(1) of the Strata Property Act, within one week of a request by an owner, a purchaser or a person authorized by either, the strata corporation must give the requester the certificate in the prescribed form.

A purchaser is anyone with an agreement to buy a strata lot that has not yet been conveyed. The agreement does not have to be unconditional, so a buyer who is still in the subject-removal period can ask for a Form B.

If the strata has sections, a Form B should be requested from both the strata corporation and the relevant section.

What a Form B discloses

The certificate speaks as of its date. It covers the owner's monthly strata fees, amounts owing, approved future special levies, expected budget overruns, the contingency reserve fund balance, unfiled bylaw amendments, outstanding notices and work orders, parking and locker allocations, and a summary of insurance.

The Province also tells buyers to look for court, arbitration or tribunal proceedings and judgments, unfiled or unvoted resolutions, and any electrical planning reports. The rules, the current budget and the most recent depreciation report must be attached.

Two items changed recently. A summary of the strata's insurance coverage must now be included, effective April 1, 2023, and the old item on the number of rented strata lots was repealed as of November 24, 2022.

How fast, how much, and how far you can rely on it

The Act gives the strata one week to respond. The Regulation caps the fee at $35 plus the cost of photocopying, with copies capped at 25 cents per page, and the strata may refuse to issue the certificate until the fee is paid. A strata may charge less than the cap.

The information in a Form B is binding on the strata corporation in its dealings with a person who reasonably relied on the certificate. That is a strong protection, but it is not a reason to skip reading it. Whether your reliance was reasonable can depend on the facts.

Red flags to look for

• Approved special levies that are unpaid or due soon. If a levy is approved before the sale completes, the seller owes the part payable before the conveyance and the buyer owes the part payable on or after it, and the parties may negotiate how that is handled between them.
• Expected budget overruns, which suggest fees may rise.
• A low contingency reserve fund balance, especially once you net out approved unspent expenditures.
• Court, arbitration or tribunal proceedings, or judgments against the strata.
• Unfiled bylaw amendments or unvoted resolutions, which may change the rules you would live under.
• Outstanding notices and work orders on the building or the lot.
• An old or missing depreciation report. The most recent report must be attached to the Form B given to buyers.

None of these automatically means you should walk away. They are reasons to ask the strata manager or your lawyer what is behind the numbers.

What to do next

• Ask for the Form B as soon as you have an accepted offer, and confirm whether the strata has sections that need their own certificate.
• Read every attachment, not just the first page.
• Compare the fee, levy and reserve figures with the minutes and financial statements.
• Write down each red flag and take the list to your lawyer before subjects come off.
• If you are selling, order the certificate early so a delay does not slow your sale.

Frequently asked questions