🧾 What Is a Special Levy? + Tips for Choosing a Healthy Strata Building in BC
Buying a condo in British Columbia comes with some unique considerations—especially when it comes to strata ownership. One important concept to understand before buying is the special levy, which can have a major impact on your costs as an owner.
Here’s what you need to know about special levies and how to choose a healthy, well-managed strata building.
💰 What Is a Special Levy?
A special levy is a one-time fee charged to condo owners when a strata corporation needs to cover large or unexpected expenses—and there isn’t enough money in the contingency reserve fund (CRF) to pay for it.
Some common reasons for special levies include:
- Roof or elevator replacement
- Plumbing or electrical upgrades
- Building envelope repairs (like leaky condo remediation)
- Emergency structural fixes
- Fire system replacements
When a special levy is proposed, owners vote on it at a general meeting. If approved (often by a ¾ vote), each owner pays their share based on unit entitlement (usually calculated by square footage).
These levies can range from a few hundred to tens of thousands of dollars per unit—so understanding a building’s financial health is key before buying.
✅ Tips for Choosing a Healthy Strata Building in BC
Want to avoid the stress of surprise costs and poorly maintained properties? Here’s how to spot a healthy strata before you buy:
1. Read the Depreciation Report
This report outlines the condition of major building components (roof, windows, plumbing, etc.) and estimates when repairs will be needed. It also includes funding models to prepare for future costs. A current, detailed depreciation report shows the strata is planning ahead.
2. Check the Contingency Reserve Fund (CRF)
The CRF is the emergency savings account for the building. A strong fund means the strata can handle big repairs without needing a special levy. If the CRF is low and major repairs are coming up, that’s a red flag.
3. Review AGM and SGM Minutes
Look through minutes from recent Annual General Meetings (AGMs) and Special General Meetings (SGMs). Watch for:
- Repeated owner complaints
- Talk of upcoming repairs or levies
- Lawsuits or disputes
- Deferred maintenance
These insights can reveal how well the building is being managed.
4. Examine Insurance Coverage
BC strata insurance costs have skyrocketed in recent years. Ensure the building has proper insurance in place and that deductibles aren’t sky-high. You’ll also want to know what’s not covered so you can purchase your own condo insurance accordingly.
5. Evaluate the Strata Council
A proactive, transparent council is a great sign. Look for evidence of strong leadership, good communication, and willingness to address issues before they become costly.
6. Beware of Leaky Condo History
If the building was constructed between the 1980s and early 2000s, make sure you ask about any history of water ingress or “leaky condo” issues. If it’s been remediated, request documentation and verify the quality of the work done.
7. Understand the Bylaws
Strata bylaws can significantly impact your lifestyle. Read the bylaws and rules carefully—especially around:
- Pet and rental restrictions
- Smoking policies
- Age restrictions
- Strata fees and fines
🧠 Final Thoughts
When you buy a condo, you’re not just buying a unit—you’re buying into a community, a building, and a financial system. Choosing a healthy strata building with good management and long-term planning can save you thousands of dollars and countless headaches.
Need help reviewing strata documents or navigating your condo search in BC? That is exactly what Vancouver House Sales is here to do for you. Don't search blindly, make the most informed decision when it comes to your next condo.
