I simply could not bear “owning” an apartment and then having to shell out €250 pm in fees. That would bug the bejaysus out of me every single month. And the worry about it rising wouldn’t give me a moment’s peace.
Alternatively, one could shave €30,000 off the asking price to account for 10 years of fees and THEN work out the offer. So you could make €165,000 the de facto asking and work from there.
Meh. The whole thing sounds so precarious in the current market that I’d much prefer to wait for Budgetgate 2012/RA drops/house price database.
I don’t understand why people complain about management fees.
The fees are used to pay for the following items as a minimum
Building and Fire Insurance
Repairs and maintenance to external of the building
Lighting to the common areas
Cleaning of the common area.
If you own a house these costs are paid directly. For example I recently received a quotation for home insurance of €1300. In addition I pay approximately €200 p.a in waste disposal.
From experience apartment complex which have low fees are typically badly run, with the developer still in control and do not have any sinking fund to speak off.
Apartment blocks where the majority of occupiers own their apartment have higher management charges then rental blocks. The owners insist upon proper services that your typically landlord is not willing to pay for in the management charge.
The thread refers to an apartment in the same block at €70k higher, now only €15k higher…would love to know if you remember this property, which is now in the below link on Daft? daft.ie/searchsale.daft?id=603395
I think it’s because they seem to be inordinately high for Irish apartment blocks. Personally I’ve a suspicion that the management company is creaming off some money for the developer in the form of salary, director fees or whatever.
But the point is well made, the services have to be paid for.