Quick Answer
A depreciation report for your BC strata is a professional assessment of the common property’s physical condition and projected repair costs over the next 30 years. For owners, it shows what major work is likely coming up, which years will be expensive, and whether your contingency reserve fund (CRF) is on track—helping you anticipate special levies and understand maintenance priorities.
What exactly is a depreciation report—and why do strata owners need it?
A depreciation report is a long-term planning document required for most strata corporations in BC, laying out building components, their expected lifespan, and estimated replacement costs. For owners, it’s both a legal requirement for the strata and a practical tool to understand your building’s maintenance needs. Unlike buyers, owners use this report to plan for upcoming repairs, understand fee increases, and push for responsible council decisions.
How do you find and check the latest depreciation report for your building?
The latest depreciation report is typically available from your strata manager or council, and most strata corporations must commission a new report on a regular cycle set by BC regulation. Owners can also formally request a copy as part of the records available under provincial law. Always check the report’s date and confirm with council that it is the most current version—requirements can change, and some stratas may be on tight reporting deadlines.
Which sections of the depreciation report should owners focus on?
Owners should pay closest attention to the component inventory, the repair/renewal schedule, and the funding models. The component inventory lists all major items (roofs, elevators, plumbing), while the schedule forecasts when each is expected to need major work. The funding models compare different savings plans for the CRF, showing if the strata is likely to need a special levy or if fees will need to rise.
How can a depreciation report help you anticipate special levies or fee increases?
A depreciation report highlights big-ticket repairs and whether your CRF will cover them, allowing you to see when a special levy is likely. If the projected CRF balance falls short of the scheduled capital projects, owners can expect either a levy or significant fee increases. Comparing actual council decisions and recent financial statements against the report’s recommendations helps you spot gaps and ask informed questions at meetings. For more on this, see Spotting Early Signs of a Special Levy in Your BC Strata.
What should owners do if their building’s report seems out of date—or the recommendations are being ignored?
If your strata’s depreciation report is expired or its recommendations aren’t being followed, owners can bring this up with council or at the AGM. Out-of-date reports may mean the strata is not meeting its legal obligations—something to confirm with a professional if you’re concerned. Ignoring recommendations, such as deferring major projects or not funding the CRF adequately, can increase risk of sudden levies and declining property values, so owners have a right to push for answers.
Frequently Asked Questions
Do all BC strata corporations need a depreciation report?
Most strata corporations in BC are required to obtain a depreciation report on a schedule set by regulation. Owners should verify the current legal requirement and any deadlines for their building.
What’s the difference between a depreciation report and a contingency reserve fund (CRF) statement?
A depreciation report forecasts repair needs and costs over decades; the CRF statement shows the current savings. The report helps ensure the CRF is adequate for future major expenses.
How can I use the depreciation report at an AGM or SGM?
Owners can refer to the depreciation report when asking about upcoming repair projects, planned fee increases, or the council’s long-term maintenance strategy during annual or special meetings.
What if the repair schedule in our report doesn’t match what’s actually happening in the building?
It’s common for planned work to shift, but significant deviations from the report’s schedule should be discussed with council. Owners can ask why changes were made and whether that increases levy risk.
Can I request a copy of the depreciation report if I’ve lost mine?
Yes, as an owner you have the right to request a copy of the latest depreciation report from your strata manager or council under provincial strata record access rules.
Conclusion
Reading your strata’s depreciation report is one of the most practical ways to stay ahead of coming repairs, special levies, and fee changes. As an owner, it’s worth reviewing yours each year and comparing it with council’s decisions and the CRF balance—even (or especially) if you’re not planning to sell. If you want to analyze your building’s strata documents more efficiently, including the depreciation report, consider trying SearchStrata to save time and spot risks early.
