Strata
Tom is an experienced strata agent. He is proficient in all types of strata transactions (building and bare land), including pre-sale contracts – i.e., purchasing units from a developer when a building is under construction or in the planning phase. Strata transactions can be complex and pose liability risks for buyers and sellers. Education on these risks (particularly for purchaser) is essential for any home buyer, as is working with a competent agent who can effectively counsel and guide you through the process.
What is a Strata? How is Strata Housing Different?
Strata is a form of subdivision where a lot or building is severed into smaller lots/units AND common property. Consequently, when purchasing a strata lot, you become the lot owner and proportionate owner of the common property.
For example, in a condominium, the elevators, hallways, parking garages, gardens, etc., are all examples of common property. Common property is what differentiates a strata from a conventional subdivision. All the unit/strata lot owners make up the "strata corporation," often referred to as the "strata."
Common property requires ongoing maintenance and upkeep. These costs, including planning, budgeting, and scheduling, are the strata's responsibility, and each owner must pay their proportionate share (aka. strata fee). Strata fee amounts can vary greatly, depending on a wide range of factors, including the age of the building, the amount and condition of common property, neglected maintenance, and so on. If the strata fees cannot sufficiently cover these expenses, the owners may be required to pay an additional lump sum, known as a Special Levy, to cover the difference.
Buying & Selling Strata Properties
As discussed in the previous section, a "strata" is a collective of individual property owners. Consequently, every strata is unique. The governance, condition of the building and common areas, operating health, budget, and fees depend entirely on the group of strata owners, and all impact the desirability, marketability, and value of a strata home.
Tom has extensive experience listing and purchasing strata properties. As a listing agent, he understands how to market strata housing effectively and has an established sale record throughout the lower Cowichan Valley and Capital Regional District. Tom has also worked extensively on the purchasing end. He has a thorough due diligence process to determine the strata's overall health and outlook, including examining monthly and annual meeting minutes, operating costs and budgets, depreciation reports, etc., allowing his clients to make an informed purchase decision on the home and strata.
