All Topics / General Property / Townhouses and Body Corporate

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  • Profile photo of GerryGerry
    Member
    @gerry
    Join Date: 2003
    Post Count: 5
    March 9, 2004 - 11:42 am

    What other expenses am I likely to incur when buying a townhouse belonging to a body corporate? Is there an internet site that might explain some of the details of a body corporate structure? Thanks
    Gerry

    Profile photo of woodsmanwoodsman
    Member
    @woodsman
    Join Date: 2004
    Post Count: 714
    March 9, 2004 - 2:20 pm

    Gerry,

    You’ll have

    Body corporate fees
    Sinking Fund Contribution (maybe)
    Special Levy (maybe)
    GST on Fees
    GST on Sinking fund

    Only the body corporate fees will be tax deductible. All other levies/sinking fund contributions are not.

    As for structure, you will probably have something like
    a. Body Corprate Manager
    b. Committee (depending on the size of the complex, probably between 3 & 8).
    c. 1/4ly meetings
    d. Need to assign a leader of the committee to liaise with the BCM
    e. AGM where balance sheet and P&L are presented to all owners (again if they elect to come).

    Don’t have too many people on the committee, because you’ll need more people to have a quorum. Trust me, no-one turns up after the first meeting and then you can’t do anything.

    (I’m sure there is more, but I can’t think of anything now)

    James

    Profile photo of GerryGerry
    Member
    @gerry
    Join Date: 2003
    Post Count: 5
    March 10, 2004 - 9:25 am

    Thanks for the info, I am looking into a few different investment options, but it looks like houses with property managers is the most simple realestate investment option. Especially when you live a long way away from your investment property. Thanks again.
    Gerry

Viewing 3 posts - 1 through 3 (of 3 total)

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