Condo Due Diligence Document Request Checklist

Key questions:

• Who is responsible for each building component?
• What are the use restrictions?

Red flags:

• Excessive transfer fees
• Unusual pet/rental restrictions

Key questions:

• Are dues covering operating costs?
• What percentage goes to reserves?

Red flags:

• Reserve contribution below 10%
• Budget deficit

Key questions:

• What is the percent funded?
• When was it last updated?

Red flags:

• Below 50% funded
• Older than 5 years

Key questions:

• Any pending litigation?
• Any planned special assessments?

Red flags:

• Recurring maintenance complaints
• Deferred repairs

Key questions:

• What is the deductible?
• Is it all-in or bare-walls coverage?

Red flags:

• High deductible ($25K+)
• Missing coverage types

Key questions:

• How are board members elected?
• What are the voting thresholds?

Red flags:

• Board self-appointment clauses
• No term limits

Key questions:

• Rental restrictions?
• Pet policies?
• Noise/quiet hours?

Red flags:

• Excessive fines without due process
• Unclear enforcement

Key questions:

• Any delinquent accounts?
• Cash reserves on hand?

Red flags:

• Delinquency rate over 10%
• No audit in 3+ years

Key questions:

• Any assessments in last 5 years?
• How much per unit?

Red flags:

• Recurring assessments
• Large single assessment ($5K+)

Key questions:

• Active lawsuits?
• Insurance covering defense costs?

Red flags:

• Construction defect suits
• Multiple pending cases

Key questions:

• Outstanding violations?
• Pending rule changes?

Red flags:

• Unresolved violations on unit
• Upcoming rule changes affecting use

Key questions:

• Where are the unit boundaries?
• What are common vs limited common elements?

Red flags:

• Undefined boundaries for key areas

Key questions:

• Recent major repairs?
• Recurring issues?

Red flags:

• Pattern of water intrusion
• Deferred structural work

Key questions:

• Contract term and termination clause?
• Scope of services?

Red flags:

• Long-term lock-in
• Self-dealing provisions

Key questions:

• Renovation approval process?
• Permitted modifications?

Red flags:

• Overly restrictive or vague guidelines