BC Real Estate Trading Services Course Strata (Condo) Law & Strata Property Act BC 4

Question 1

In BC, a real estate licensee selling a strata unit must provide the buyer with:

Accepted Answer

The strata plan, Form B, current bylaws, rules, recent AGM minutes, and financial statements

Answer

Due diligence for strata purchases includes reviewing the Form B, strata plan, current bylaws and rules, financial statements (operating fund, CRF), recent minutes of council and general meetings, and the depreciation report.

Question 2

Under the BC Strata Property Act, the strata council is elected by:

Accepted Answer

Strata lot owners at the annual general meeting

Answer

The strata council is elected by strata lot owners at the annual general meeting. Council members serve on behalf of the strata corporation to manage day-to-day operations.

Question 3

In BC, 'bare land strata' differs from a conventional strata in that:

Accepted Answer

The strata lots consist of parcels of land rather than units within a building

Answer

A bare land strata plan divides land into individual parcels (strata lots). Each owner typically owns their lot and any buildings on it, with roads, utilities, and other common areas as common property.

Question 4

In BC, the Standard Schedule of Unit Entitlement determines strata fees based on:

Accepted Answer

The square footage of each strata lot relative to the total floor area of all lots

Answer

Under the standard schedule, unit entitlement is based on the floor area of each strata lot as a proportion of total strata lot area, meaning larger units pay proportionally more in strata fees.

Question 5

In BC, when a strata corporation obtains insurance for the strata building, which areas are typically covered?

Accepted Answer

Original construction of common property, limited common property, and strata lots (full replacement value)

Answer

Under the Strata Property Act, the strata corporation must insure common property and assets for full replacement value, including the original construction of strata lots. Owners insure their improvements and contents separately.

BC Real Estate Practice Test

BC Real Estate Practice Test

BC Real Estate Trading Services Course Strata (Condo) Law & Strata Property Act BC 4