British Columbia Strata Property Manager
Licensing Exam Practice Questions | Verified
Answers & Rationales
SECTION 1: LEGISLATIVE FRAMEWORK & FUNDAMENTALS OF LAW
(Questions 1-30)
1. What is the primary legislation governing the creation, management, and operation of strata
properties in British Columbia?
A) Land Title Act
B) Real Estate Services Act
C) Strata Property Act
D) Residential Tenancy Act
ANSWER: C
EXPLANATION: The Strata Property Act is the foundational statute that governs all aspects
of strata corporations in BC, including their creation, governance, finances, and bylaw
enforcement .
2. According to the Strata Property Act, who is responsible for the repair and maintenance of
common property?
A) The individual owners whose lots adjoin the common property
B) The strata corporation
C) The provincial government
D) The property manager
ANSWER: B
EXPLANATION: Section 72 of the Strata Property Act places the duty to manage, maintain,
and repair common property and common assets on the strata corporation .
3. What is a "strata lot"?
A) The entire building and land shown on the strata plan
B) A privately owned unit shown as a separate parcel on the strata plan
C) The parking stall and locker assigned to an owner
D) Any part of the property that is not common property
ANSWER: B
, EXPLANATION: A strata lot is a lot shown on a strata plan that is intended for separate
ownership. It is the individual unit that an owner purchases and holds title to .
4. Which document must be deposited at the Land Title Office to legally create a strata
corporation?
A) The Strata Property Act
B) The Disclosure Statement
C) The Strata Plan
D) The Schedule of Unit Entitlement
ANSWER: C
EXPLANATION: A strata corporation is automatically created when the owner developer files
a strata plan at the Land Title Office. The strata plan defines the boundaries of the strata lots
and common property .
5. What is the legal definition of common property?
A) Any property owned jointly by two or more owners
B) All property shown on a strata plan that is not part of a strata lot
C) The lobby, hallways, and roof of the building only
D) Property that is designated for the exclusive use of one owner
ANSWER: B
EXPLANATION: Common property is defined in the Strata Property Act as any part of the
land and buildings shown on a strata plan that is not designated as a strata lot .
6. What is the name for common property that is designated for the exclusive use of the owners
of one or more specific strata lots?
A) Exclusive Use Area
B) Limited Common Property
C) Restricted Property
D) Designated Asset
ANSWER: B
EXPLANATION: Limited common property is common property that has been designated on
the strata plan or by a bylaw for the exclusive use of the owners of one or more strata lots, such
as a balcony or a parking stall .
7. An owner of a strata lot owns their unit in fee simple. How do they hold their interest in the
common property?
A) As a joint tenant with all other owners
B) As a tenant in common with all other owners
C) The strata corporation owns the common property
D) The owner has no ownership interest in the common property
, ANSWER: B
EXPLANATION: An owner owns their strata lot in fee simple and also owns a proportionate
share of the common property as a tenant in common with all other owners. This is a
fundamental principle of strata ownership .
8. The Real Estate Services Act (RESA) is the key legislation that governs:
A) The creation of strata corporations
B) The licensing and conduct of strata managers and brokerages
C) The rental of residential units in BC
D) The registration of land titles
ANSWER: B
EXPLANATION: RESA establishes the regulatory framework for real estate professionals in
BC, including strata managers. It sets out licensing requirements, rules of conduct, and the
powers of the BC Financial Services Authority (BCFSA) .
9. Who is the regulatory body responsible for licensing strata property managers and enforcing
the Real Estate Services Act in British Columbia?
A) The Real Estate Council of British Columbia (RECBC)
B) The Strata Property Agency
C) The BC Financial Services Authority (BCFSA)
D) The Land Title and Survey Authority (LTSA)
ANSWER: C
EXPLANATION: The BC Financial Services Authority (BCFSA) is the current regulatory body
overseeing real estate services, including the licensing and discipline of strata property
managers. (Note: RECBC's functions were consolidated into BCFSA) .
10. The Strata Property Act requires strata corporations to obtain insurance appraisals for the
replacement value of the buildings. How often must this be done?
A) Every year
B) Every 3 years
C) Every 5 years
D) Every 10 years
ANSWER: B
EXPLANATION: To ensure the strata corporation has adequate insurance coverage, the
Strata Property Act mandates that a full replacement cost appraisal be obtained at least once
every 3 years .
11. Under the Strata Property Act, what is the default maximum fine that a strata corporation can
impose on an owner or tenant for a bylaw contravention, unless the bylaws specify otherwise?
A) $100
B) $200
, C) $500
D) $1,000
ANSWER: C
EXPLANATION: The Strata Property Regulation sets a default maximum fine of $500 for a
bylaw contravention. However, a strata corporation can set a different amount in its own bylaws
.
12. Which of the following is considered a "common asset" of a strata corporation?
A) A parking stall designated as limited common property
B) A swimming pool located on common property
C) An individual owner's hot water tank
D) A strata lot rented out by its owner
ANSWER: B
EXPLANATION: A common asset is personal property owned by the strata corporation, such
as a swimming pool, tennis court, or maintenance equipment. It is held for the benefit of all
owners.
13. What is the primary purpose of the Real Estate Services Act's rules regarding trust accounts
for strata managers?
A) To earn interest for the brokerage
B) To protect client money (e.g., strata fees, security deposits) by keeping it separate from the
brokerage's own funds
C) To simplify the brokerage's bookkeeping
D) To allow the managing broker to invest client funds
ANSWER: B
EXPLANATION: RESA and its Rules have strict provisions for trust accounts. Their main
purpose is the protection of the public by ensuring that money belonging to clients (like strata
corporations) is held in trust and not misused or co-mingled with the brokerage's operational
funds .
14. "Unit entitlement" is a term used in the Strata Property Act. What does it primarily
determine?
A) The size of a strata lot in square feet
B) The number of votes an owner has and their share of common expenses
C) The market value of a strata lot
D) The owner's eligibility to be on strata council
ANSWER: B
EXPLANATION: Unit entitlement, typically based on the square footage or value of a strata lot
at the time the strata plan was created, is the formula used to calculate each owner's share of
strata fees and their voting power .
Licensing Exam Practice Questions | Verified
Answers & Rationales
SECTION 1: LEGISLATIVE FRAMEWORK & FUNDAMENTALS OF LAW
(Questions 1-30)
1. What is the primary legislation governing the creation, management, and operation of strata
properties in British Columbia?
A) Land Title Act
B) Real Estate Services Act
C) Strata Property Act
D) Residential Tenancy Act
ANSWER: C
EXPLANATION: The Strata Property Act is the foundational statute that governs all aspects
of strata corporations in BC, including their creation, governance, finances, and bylaw
enforcement .
2. According to the Strata Property Act, who is responsible for the repair and maintenance of
common property?
A) The individual owners whose lots adjoin the common property
B) The strata corporation
C) The provincial government
D) The property manager
ANSWER: B
EXPLANATION: Section 72 of the Strata Property Act places the duty to manage, maintain,
and repair common property and common assets on the strata corporation .
3. What is a "strata lot"?
A) The entire building and land shown on the strata plan
B) A privately owned unit shown as a separate parcel on the strata plan
C) The parking stall and locker assigned to an owner
D) Any part of the property that is not common property
ANSWER: B
, EXPLANATION: A strata lot is a lot shown on a strata plan that is intended for separate
ownership. It is the individual unit that an owner purchases and holds title to .
4. Which document must be deposited at the Land Title Office to legally create a strata
corporation?
A) The Strata Property Act
B) The Disclosure Statement
C) The Strata Plan
D) The Schedule of Unit Entitlement
ANSWER: C
EXPLANATION: A strata corporation is automatically created when the owner developer files
a strata plan at the Land Title Office. The strata plan defines the boundaries of the strata lots
and common property .
5. What is the legal definition of common property?
A) Any property owned jointly by two or more owners
B) All property shown on a strata plan that is not part of a strata lot
C) The lobby, hallways, and roof of the building only
D) Property that is designated for the exclusive use of one owner
ANSWER: B
EXPLANATION: Common property is defined in the Strata Property Act as any part of the
land and buildings shown on a strata plan that is not designated as a strata lot .
6. What is the name for common property that is designated for the exclusive use of the owners
of one or more specific strata lots?
A) Exclusive Use Area
B) Limited Common Property
C) Restricted Property
D) Designated Asset
ANSWER: B
EXPLANATION: Limited common property is common property that has been designated on
the strata plan or by a bylaw for the exclusive use of the owners of one or more strata lots, such
as a balcony or a parking stall .
7. An owner of a strata lot owns their unit in fee simple. How do they hold their interest in the
common property?
A) As a joint tenant with all other owners
B) As a tenant in common with all other owners
C) The strata corporation owns the common property
D) The owner has no ownership interest in the common property
, ANSWER: B
EXPLANATION: An owner owns their strata lot in fee simple and also owns a proportionate
share of the common property as a tenant in common with all other owners. This is a
fundamental principle of strata ownership .
8. The Real Estate Services Act (RESA) is the key legislation that governs:
A) The creation of strata corporations
B) The licensing and conduct of strata managers and brokerages
C) The rental of residential units in BC
D) The registration of land titles
ANSWER: B
EXPLANATION: RESA establishes the regulatory framework for real estate professionals in
BC, including strata managers. It sets out licensing requirements, rules of conduct, and the
powers of the BC Financial Services Authority (BCFSA) .
9. Who is the regulatory body responsible for licensing strata property managers and enforcing
the Real Estate Services Act in British Columbia?
A) The Real Estate Council of British Columbia (RECBC)
B) The Strata Property Agency
C) The BC Financial Services Authority (BCFSA)
D) The Land Title and Survey Authority (LTSA)
ANSWER: C
EXPLANATION: The BC Financial Services Authority (BCFSA) is the current regulatory body
overseeing real estate services, including the licensing and discipline of strata property
managers. (Note: RECBC's functions were consolidated into BCFSA) .
10. The Strata Property Act requires strata corporations to obtain insurance appraisals for the
replacement value of the buildings. How often must this be done?
A) Every year
B) Every 3 years
C) Every 5 years
D) Every 10 years
ANSWER: B
EXPLANATION: To ensure the strata corporation has adequate insurance coverage, the
Strata Property Act mandates that a full replacement cost appraisal be obtained at least once
every 3 years .
11. Under the Strata Property Act, what is the default maximum fine that a strata corporation can
impose on an owner or tenant for a bylaw contravention, unless the bylaws specify otherwise?
A) $100
B) $200
, C) $500
D) $1,000
ANSWER: C
EXPLANATION: The Strata Property Regulation sets a default maximum fine of $500 for a
bylaw contravention. However, a strata corporation can set a different amount in its own bylaws
.
12. Which of the following is considered a "common asset" of a strata corporation?
A) A parking stall designated as limited common property
B) A swimming pool located on common property
C) An individual owner's hot water tank
D) A strata lot rented out by its owner
ANSWER: B
EXPLANATION: A common asset is personal property owned by the strata corporation, such
as a swimming pool, tennis court, or maintenance equipment. It is held for the benefit of all
owners.
13. What is the primary purpose of the Real Estate Services Act's rules regarding trust accounts
for strata managers?
A) To earn interest for the brokerage
B) To protect client money (e.g., strata fees, security deposits) by keeping it separate from the
brokerage's own funds
C) To simplify the brokerage's bookkeeping
D) To allow the managing broker to invest client funds
ANSWER: B
EXPLANATION: RESA and its Rules have strict provisions for trust accounts. Their main
purpose is the protection of the public by ensuring that money belonging to clients (like strata
corporations) is held in trust and not misused or co-mingled with the brokerage's operational
funds .
14. "Unit entitlement" is a term used in the Strata Property Act. What does it primarily
determine?
A) The size of a strata lot in square feet
B) The number of votes an owner has and their share of common expenses
C) The market value of a strata lot
D) The owner's eligibility to be on strata council
ANSWER: B
EXPLANATION: Unit entitlement, typically based on the square footage or value of a strata lot
at the time the strata plan was created, is the formula used to calculate each owner's share of
strata fees and their voting power .
