• Condos:  
  • What about condominium legals?

    A condominium unit is a creation of statute and is subject to the provisions of Title 7 of the Texas Property Code. The owner of a unit usually owns the right to use the airspace inside the interior walls and the surface of the interior walls of the unit, and has a percentage interest in the "bricks and sticks" of the project in common with all the other unit owners. To be a condominium, the condominium declaration must be filed in the real property records of the appropriate county (some early condo declarations were recorded in the real property records but more recently, most county clerk’s offices have separate Condominium Records). The legal description must include the unit number, the building number, the name of the project, the recording information of the declaration and amendments, and the names of the county and state. The percentage ownership interest in the general common elements is no longer required to be part of the legal description as percentage ownership is reflected in the condominium declaration.

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    There are many condos inspections performed by Al Austin. These photos represent only 3 properties out of thousands.

  • GLOSSARY: CONDOMINIUM TERMS
    Board of Directors
    The board of directors of a condominium is elected by the members of the condominium corporation for a period of three years. The board of directors is obligated by the Condominium Act to represent the interest of the unit owners in the condominium with respect to any concerns with the common elements.

    Bylaws
    Bylaws of the condominium corporation are usually registered by the declarant and indicate how the condominium will be organized. (For example - the board of directors, meetings and elections.)
    Closing Date
    The date of title transfer of the unit after the declarant registers the Declaration and Description of the condominium.

    Common Elements
    Common elements are different for each condominium corporation. They are listed in Schedule C of the Disclosure Statement or Declaration and Description.

    Condominium
    Applies to a specific type of proper ownership. The legislation governing condominiums is the exclusive jurisdiction of the province.

    Condominium Agreement of Purchase and Sale
    Condominium Agreements of Purchase and Sale are distinctly different from single family agreements. It is recommended that a condominium lawyer review the agreement before it is signed. Once the agreement is signed a Disclosure Statement must be provided which sets out the by-laws of the corporation and describes the boundaries for the common elements. Delivery of this document activates a 10 day cooling off period for homeowners and allows them to get out of the deal within the 10 day period if they provide written notice to the declarant or proposed declarant or solicitor for the proposed declarant.

    Condominium Corporation
    A condominium is a legal entity created by registering a Declaration and Description with the appropriate Land Registry. The primary purpose of a Condominium Corporation is to manage the condominium property and business affairs.

    Condominium Ownership
    Condominium ownership has a dual nature. A condominium owner holds title to their unit and at the same time shares with other units both the title and cost of operating the balance of the property constituting the condominium.

    Confirmed Occupancy Date
    The date confirmed in writing by the vendor/builder as the date occupancy will be provided to the purchaser of the unit.
     
    Declarant
    The owner or owners in a fee simple of the land described in the description at the time of registration of a Declaration and Description.

    Declaration
    Outlines what constitutes the division of ownership within the corporation by detailing the common elements, the units and the percentage ownership each unit has in the common elements.

    Deposit Receipt
    A receipt executed by the vendor and ONHWP confirming to the purchaser the benefits of the plan in respect of the purchase agreement. Required only for condominium purchases.

    Deposits
    In the case of a condominium dwelling unit, the deposit includes monies received by a vendor after the date of possession and prior to the date of transfer, but does not include the interim occupancy fee.

    Description
    Is a detailed plan of the layout and location of the development, including a survey of the land and details the location and outlines of the buildings. The description also provides the specification of the boundaries of each unit. The legal description of units may vary condominium to condominium.

    Disclosure Statement
    Provides general description of the property and provisions which apply to the amenities portion of units which will be marketed as blocks. Contains a brief description of the existing or proposed declaration, bylaws, rules and a budget statement for one year following registration.
    Exclusive Use Common Elements
    Portions of the common elements which may be for the exclusive use of one or more unit owner. The maintenance and upkeep may be either the responsibility of the Condominium Corporation or the unit owner.
    Interim Occupancy Payment
    A payment made by the purchaser after occupancy, but before a deed or transfer of the unit acceptable for registration is delivered to the purchaser.
    The limitations imposed by the Act are: The amount may not exceed, on a monthly basis, the total of:
    • The amount of interest the purchaser would have paid in respect to any mortgage.
    • Estimated municipal taxes.
    • Projected monthly common expenses for that unit.
    Proposed Unit
    Land described in an agreement of purchase and sale that provides for delivery of a deed or transfer to occur after registration.
    Registration
    The registration of a Condominium Corporation initiates the warranty period for the common elements, a turnover meeting within three months (provided the declarant does not own the majority of units).

    Reserve Fund
    A fund set up by the corporation for major repair and replacement of common elements and assets of the corporation. It is maintained through the collection of money from unit owners by way of the maintenance fees. Any shortfalls in the reserve is the responsibility of the declarant prior to registration, and the responsibility of the corporation after.
    Shared Facilities
    Shared facilities implies that more than one Condominium Corporation may share in the use of the common elements, even though only one Corporation may hold title. A Shared Facilities Agreement would be referenced in each condominium corporation declaration as well as a detailed breakdown of how the operational costs will be shared. While ownership remains with the named corporation, the by-laws for that corporation outline how the member condominiums participate.
    Tentative Occupancy Date
    The date originally set out in the agreement as the target date for occupancy of the unit.
     
    Turnover Meeting
    A turnover meeting is called within 21 days of the declarant ceasing to be a majority owner of units. The declarant hands over all the financial and business information with respect to the condominium.
    Unit
    Unit means a part or parts of the land included in the description, and comprises all space enclosed by its boundaries in accordance with the Declaration and Description.
    Warranty Coverage
    Warranty coverage takes effect on the date the purchaser takes possession of the unit. However, ownership is not transferred until the condominium is registered. The warranty for common elements takes effect on the date of registration of the declaration and description of the project.
 
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