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'I have until next week': Toronto condo owner facing $40,000 bill for new windows

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When Bonnie Jones bought her first condo five years ago, she thought aside from her mortgage and taxes, the $1,000 in monthly maintenance fees would cover all other costs associated with her condo unit.

That’s why she was shocked to get a special assessment to pay an additional $40,000 to replace her windows.

“I have until next week to come up with $40,000 plus legal fees and interest or they are going to sell my condo unit,” Jones said.

When you own a condominium, the common expenses are shared by all owners which is usually covered by monthly maintenance fees, but in the event your building needs a major repair like new elevators, a boiler or replacing balconies, you could have to pay additional costs which is referred to as a “special assessment.”

Jones lives at Guildwood Terrace in Scarborough, where there are two 33-year-old buildings which are currently having all their windows replaced.

CTV News Toronto reached out to her condo board which said it couldn’t speak to Jones’s situation due to privacy reasons, but a spokesperson said that some windows in the building have been leaking for years and it was necessary to deal with the windows before they got worse.

The board said it had various meetings with owners and paid for an engineering study which recommended replacing all the windows at the same time. The board said it followed the recommended process, warned owners three years ago repairs were needed and gave them payment options.

But Jones said that she fell ill and had to go on sick leave and was behind on her payments. Now, with interest and legal fees she owes $74,000.

“I’m scared and I’m worried. I can’t come up with all that money, I just can’t,” Jones said.

There are 900,000 condominium units in Ontario and some of them are now more than 50 years old as the first condos in Ontario were built around 1967.

Jon Juffs is a condo expert who studies reserve funds as the Vice President of Building Facilities with EGIS Canada. Juffs said many older condos will start needing repairs and reasons for special assessments include replacing roofs, exterior glass walls, balconies, foundations and parking garages.

Juffs said condo boards are reluctant to raise monthly maintenance fees, but if reserve funds run low it can lead to problems if a building needs a major repair.

“Some condominium boards don’t want to raise maintenance fees which is understandable, but when a major repair is required then a special assessment will be needed,” said Juffs.

Juffs said condo owners who are hit with unexpected special assessments should be allowed various payment options, loans or financing to help them deal with the unexpected costs so they don’t have to consider selling their unit.

“In my mind there is no good reason to be ousting a home owner just for the costs of repairing a building,” said Juffs.

Jones sold her house to move into the condo and had no idea special assessments existed and said her windows currently don’t leak and are not scheduled to be replaced this year.

After Jones reached out to CTV News Toronto she said she's been able to make payment arrangements with her building to pay a portion of the money owed and now hopes to pay the remaining amount in the future so she can remain in her condo.

If you're buying a condo, it's important to check the status certificate to see the state of the building's finances and you should also check to see if there are any lawsuits or special assessments pending.

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