Condominium Reserve Fund Report

A Condominium Reserve Fund Report provides essential information that helps a condominium corporation determine how much money should be saved in its reserve fund.

A condominium reserve fund is a special savings account set aside to pay for major repairs and replacements of the shared parts of a condo property. It’s a long-term savings plan to ensure the property stays in good condition and the corporation is financially prepared.

Importance of Reserve Funds

There are many advantages of a reserve fund, such as:
 

• Financial stability:

  • Helps the condominium corporation plan for large future expenses.
     

• Proactive maintenance:

  • Encourages addressing repairs early before they become more serious and expensive.
     

• Legal compliance:

  • In many areas, like Newfoundland and Labrador, it's legally required to maintain reserve funds and conduct periodic reserve fund studies.