Virginia Condo Due Diligence Checklist

Where Virginia due diligence deserves the most attention

Legal Framework

Condominiums: Governed by the Virginia Condominium Act, Va. Code §§ 55.1-1900 to 55.1-1993 (Title 55.1, Subtitle IV, Chapter 19). Originally enacted in 1974 (former Title 55, Chapter 4.2, §§ 55-79.39 et seq.) and recodified into Title 55.1 effective October 1, 2019. The Act governs all condominiums created by a recorded declaration in Virginia, covering residential, mixed-use, and commercial regimes.

Reserve Studies and Reserve Funding

There is no building-age trigger, no height/three-story trigger, and no minimum unit-count trigger — the duty applies to a two-unit condo and a 300-unit high-rise alike, and to lot-based POAs. This directly resolves the older report's "SIRS trigger NEEDS REVIEW": Virginia does not have a Florida-style Structural Integrity Reserve Study. The reserve-study obligation is general and applies to all associations every five years. Industry commentators describe Virginia as one of the stricter states on reserve-study *process*.

Structural Inspections and Building Safety

Virginia has no statewide milestone, façade, or balcony inspection mandate for condominiums — there is no equivalent of Florida SB-4D, NYC Local Law 11/FISP, or California SB-326/SB-721. Post-Surfside, Virginia chose a study-and-deliberate path rather than a hard inspection mandate.

Insurance Requirements and Insurance-Market Risk

Master casualty/property policy: The condominium instruments may require a master casualty policy with fire and extended coverage in an amount consonant with full replacement value of the structures comprising or part of the common elements. In practice virtually all condo instruments require this, and lender (Fannie/Freddie/FHA/VA) requirements make full replacement-cost coverage effectively necessary.; Master liability policy: Required in an amount specified by the instruments, covering the association, the executive board, the managing agent, their ag…

Resale Disclosures and Buyer Cancellation Rights

`resale_certificate_missing_or_late` — Not delivered within 14 days / deemed unavailable.; `association_not_registered_cicb` — Annual report not filed; packet may be unavailable and fees uncollectable.; `reserve_study_absent_from_packet` — Required current reserve study/summary not included.; `special_assessment_disclosed` — Approved special/additional assessment in the packet (quantify).

Assessments, Special Assessments, and Borrowing

`special_assessment_approved` — Board-approved additional/special assessment (in packet).; `special_assessment_likely_unapproved` — Minutes show a looming assessment not yet formally approved.; `capital_expenditure_pending` — Large approved capital project for current/next fiscal year.; `association_loan_or_credit_line` — Existing borrowing / assessment-income pledge.