Condo Application is Approved: What Next?
What steps remain after an application is approved?
There are a few remaining steps once a building owner has completed all the requisite steps to get a condo conversion application approved. The first step is to have the survey map notarized with signatures from all owners (lenders must sign as well for buildings with 5-6 units). This notarized survey map is then sent back to the City along with the updated title report, certification that all inspection work has been completed, and certification showing all property taxes are current. Once the updated survey map and CC&Rs are officially recorded, the building officially becomes a condominium.
Often the next step for owners is to refinance their mortgage loans. If multiple owners are currently sharing the same mortgage loan (as in a TIC), condo conversion will enable them to relieve themselves of the risk associated with multiple people being responsible for the same loan. Also, individual owners may be able to negotiate better loan terms than the group.