An owners corporation is important to a growing cohort. If you have a property affected by an Owners Corporation then automatically you become a member of that owner’s corporation. You have financial and legal responsibilities as a member.
Know what is an owners corporation
If you own a unit, apartment, or townhouse, you’re likely to be a member of an owner’s corporation (OC). They’re responsible for handling the common property of strata-titled properties. This involves administering, managing, maintaining, and repairing common areas. By getting and maintaining insurance, and raising fees from the lot owners. To manage finances and meet financial obligations.
They must also have an OC register, give needed OC certificates, and build a grievance procedure. While complying with regulations and state laws that are known as the Owners Corporations Act. An owner’s corporation handles the usual property of retail, commercial, residential, mixed-use, and industrial property development.
Know the services and responsibilities of an owners corporation
An owners corporation should:
- Administer and manage the common property
- Maintain and repair the common property, services, and fixtures
- Raise fees from many lot owners to achieve financial obligations
- Keep and take out insurance
- Keep financial records and prepare financial statements
- Gives owners corporations certificates when requested
- Register an owners corporation
- Build a grievance methods
- Enforce the rules and regulations of the OC
- Offer general management and administration of buildings and land
Levels of an owners corporation
The owners corporation functions at four levels:
- The owners corporation, comprising of all many lot owners
- The committee involves elected lot owners or lot owner’s proxies
- A delegate of the committee. The committee may represent a lot manager, owner, or sub-delegate to a member of the committee.
- A delegate of the owners corporation, for example, the secretary, chairperson, a lot owner. A committee or an employee of the owners corporation.
Maintenance and Repairs
The OC manages the repair and maintenance of the common property. The OC is only required to keep the services and common property in a state of good and serviceable repair. Improvements to the associated cost and common property must be approved by the resolution of the OC. Lot owners handle the servicing of their lots.
Benefits of an owners corporation:
An Owners Corporation was known as a body corporate before, strata fees are in place for a great reason. They have shared costs between residents for fees that are mandatory. These fees usually include public liability insurance and building insurance. And any legislation-based payments. An Owners Corporations also instigate owners’ contributions for maintenance levies, sinking funds, and needed capital improvements.
Your investment property will be secured and well cared for. With the appropriate insurance coverage and consistently maintained its highest standard. To make sure it is well placed to keep strong returns, yield consistent, and capital growth.