Is a current financial statement and balance sheet really that important.

Think about being a buyer of a condo, very similar to buying a business. You are not just buying a home but all the added resposibuility of the Condominium corporation. This should not feel daunting I just suggest that you do your home work and select professionals that have a great deal of experience in the process.

Most document packages that our clients receive include the operating budget for the year and the latest year end financial statement. These documents are necessary so that the condo Buyer or their representative have markers to measure the current financial picture against. The current financial statement & balance sheet ideally is dated the month end prior to the month the review is being completed, at the least 60 days prior. Think of this as the document that is comparable to your personal monthly statement from your bank. The balance today is never the same as the balance a year earlier or even a month earlier.

Can you imagine taking possession of your condo and the management company forgot to provide you with current and accurate condo documents. You could have just bought a condo that looked like it had a substantial reserve fund only to find out the next month that they actually used all of it for a project and the bank account is low.

There are a few ways that you can minimize the chances of this happening. One is to hire a specialist to review the condo documents. Find a specialist that their only focus is looking at these documents. You wouldn't ask a family doctor to do heart surgery... you wouldn't ask a Realtor to help you find a condo if they didn't have a great deal of experience so why would you ask somebody who only reviews a couple condo corportation documents a year.

Errors happen, there is also a simple way to be able to protect yourself if an error had occurred in the condo documents and that is called title insurance. There are some title insurance companies that will cover errors and ommisions in regards to the condo documents.

By taking a few simple steps to ensure you are protected, you will be able to enjoy the excitement of the move and an experience that most people expect from the process.