As of February 1, the Condominium Act was updated for the first time since it was created in the 1960s. It is now 300 pages longer, and addresses issues such as disclosure and the cooling-off period, which had previously been just 48 hours.
Condo sellers now have to provide buyers with a package that includes disclosure statements, a full reserve fund study – which each condominium must update to include a 30-year foresight period – and a survey plan for the unit. There are also new guidelines that dictate how this information package must be bundled.
“It provides the buyer with a lot of opportunity to do due diligence to feel comfortable in their decision making,” said Roberta Weiss, president of the Manitoba Real Estate Association (MREA).
“There are a lot of documents that offer more transparency and time. It’s great for the buyer.”
Once buyers receive this package – and sign a specially created receipt form – the extended seven-day “cooling-off period” begins.
“Buyers of condominium units have had very little protection, up until now,” said Robert Tyler, a lawyer with Atkins Law, who is working with the Manitoba Real Estate Association to educate members about the legislature changes.
“The buyer is now going to have all the information in front of them to be able to make a more appropriate assessment of what they’re getting into than ever before.”
The MREA is currently hosting seminars and information sessions to train its members on the new legislation and what it means for their real estate businesses.
Find out more about condo investing in the March/April issue of CREW
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If you’re thinking about buying or selling a condo as an investment property in Manitoba, be prepared – the province’s Condominium Act has grown by 300 pages.