Why Do Body Corporate Levies Differ?

As a Body Corporate Manager I don’t think a day goes by without someone querying why their friend who lives in a Body Corporate pays cheaper Body Corporate levies than they do.

It is a common misconception that Body Corporate levies should be the same if the buildings are roughly the same size and have the same major facilities i.e. pool, tennis court and gym.

It is important to note that no two apartment complexes are the same. Just to name a few common differences – number of lots, construction materials, age, location and registered building plan (SFP or BFP). All these differences play a huge part in the creation of your annual Body Corporate budget which leads to the amount of contributions required to be paid by the Owners.

Your Body Corporate levies are broken into two components- Administration Fund and Sinking Fund. Administration Fund levies are required to pay for services like – building insurance cover, onsite management, cleaning of the stairwells and pool, gardening, lift maintenance, common property electricity, fire equipment servicing and other compliance maintenance. The Sinking Fund can be considered the Body Corporates savings account. This savings account is required to ensure that the complex has enough funds put aside to cover major capital expenditure in the future such as painting the scheme or the installation of a new roof.

Our goal at Strata Management Group is to educate and be as transparent as possible for our Owners in relation to Body Corporate budgets, levies and legislation. We pride ourselves on our amazing online portal facilities. Every building owner has access to their own personal online building portal that is linked directly to the Body Corporate bank account and our office software. This means all financial data and building documentation is updated in real live time and it can be accessed 24/7. Owners can use the online portal similar to online banking and view their levy statement to track past payments and have access to all previously issued levy notices, meeting minutes, insurance documentation and building reports.

Contact our office today to discuss how we can help you PH: 07 3267 1888 / www.stratamg.com.au