A Guide to Condominium Management
Generally, management fees are in top of highest expenses in the annual budget of condominium corporation. Following are the questions need to be settled to ensure that the entire complex has a smooth operation and is going in the right direction.
Number 1. Who is setting the management fees – much like in every industry, condominium management is a very competitive field. Management companies set fees which is typically done on a “per door” or “per room” basis. However, it is vitally important to know about what is included and is not included in the price quoted. As for the fees that are included, this is where clients have to be very vigilant and cautious during research phase and some of the most significant considerations are company’s experience, low monthly fee upfront but with remarkably high charges the contract is signed and so forth.
Number 2. Where will we notice the advantages of management fees – in regards to property values, you will certainly enjoy the services offered of enlisting an ethical and responsible professional. Having an accurate, legislated and thorough record keeping, attention to regular maintenance as well as replacement issues, enforcing bylaws and the appropriate reserve fund is sought after by most of the savvy customers these days who usually hire professionals to review affairs of management in great detail prior to buying the unit.
Number 3. When to be concerned of the fees – well without a doubt, you should be alarmed of below the average fees and higher than normal rates, which both have to be justified. A simple rule to help you out here is by giving the lowest and the highest in all factors meeting equal, which is at the same time a very simple method. When doing so, make sure that you closely look in comparing critical practices, terms and conditions as well as the management’s qualifications such as promptness, communication, consistency of work and experience in industry.
Number 4. Why should do research for varieties of fees – oftentimes, good and reputable companies offer flexible service contracts. In the event that you got a 12-unit property, then you might find it necessary for you to get help on consulting basis or a partial management service. At end of the scale, 400-unit high rise with special assessments, multiple insurance claims and older bylaws might opt for comprehensive full service and all inclusive contract. Meticulously check the proposed services for the quoted price and consider your specific needs and not pay for what you do not need. See to it that in the quotation, it includes everything that you seek.
Keep in mind that condominium management isn’t a creative process and there are critical and set tasks that should be met by managers.