What Does a Healthy Condo Corporation Look Like?

When it comes to living in a condo, a healthy corporation is the foundation for a community that feels secure, thrives, and maintains property value. It’s more than just cutting the grass and keeping the hallways clean - it’s about solid governance, financial stability, and great communication!

If you’re a condo board member or owner wondering if the corporation you live in is healthy, here are the key signs to look out for:

1. Strong Financial Management

A healthy condo corporation has a clear financial plan and regularly reviews its operating budget and reserve fund study. You should get a reserve fund study done every 5 years, and it’s surprising how many corporations don’t do that!

• Budgets are realistic and transparent. We’ve seen budgets that don’t entirely make sense - why are we paying so much for snow removal, and surely the balcony replacement in a few years will cost more than that?

• Monthly financial statements are reviewed and understood by the board.

• The reserve fund is being properly funded for future repairs and replacements.

💡 Tip: Look at the numbers more than once a year.

2. Thorough Communication

Open, respectful, and timely communication between the board, management, and owners is a sign of good health. Whether that means having communications online for everyone to view, flyers in mailboxes, or even whatsapp chats, the more effort put into communication, the better the sign.

• Updates are timely, full of useful information, and include details about maintenance, projects, and any changes.

• Board meetings are well-documented and decisions are clearly communicated.

• There’s a clear channel for owners to ask questions and get answers.

3. Proactive Maintenance

Healthy corporations take a proactive approach rather than waiting for issues to escalate. If owners in your complex are getting levied to fix problems, then something is amiss.

• First, the corporation knows when it’s components are going to reach end of life. Second, there is a maintenance plan in place. Third, that plan is followed.

• Regular inspections identify small issues before they become big problems.

• Major projects are planned ahead, not rushed at the last minute.

4. An Informed, Engaged Board

We firmly believe that a corporation is a reflection of the condo board. If the board is engaged, driven, and inspired to maintain the corporation, then that’s a great sign!

• Board members understand their responsibilities and decision-making power.

• There’s a balance between financial prudence and community needs.

• The board works collaboratively with property management - and vice versa.

A strong board doesn’t just “put out fires”; it leads with vision and accountability.

5. Transparent, Responsive Management

A good management company acts as a trusted partner, keeping the board and corporation on track.

• They provide accurate reporting and respond promptly to inquiries.

• They help the board plan ahead, manage projects, and ensure compliance.

• Your corporation isn’t just another one added to their list - you genuinely feel heard, special, and cared for.

If your management company feels distant, it might be time to reassess.

6. A Sense of Community

At the end of the day, being part of a condo corporation means being part of a community. Healthy corporations create an environment where residents feel like they’re part of something bigger.

• Clear bylaws and rules are enforced fairly.

• Meetings encourage participation and input.

• The board and management take pride in the property’s reputation and condition.

When people are proud to live in your building, it shows.