Question from a friend: Is anyone able to provide advice re this situation: an IP in a group of 5 in WA. There is no strata manager – the owners just split the building insurance bill. The buildings are hopelessly under insured but 2 of the owners firmly believe the current valuation is fine and don’t want to pay more for insurance. Can an increase in the amount of insurance be forced? The owner obviously can’t convince the strata group to pay for a formal valuation as this would be way more than just increasing the insurance. Any ideas? thanks [egypt]
Hi Ausprop,
Just postulating here but ……..
Given the majority of the owners (and by default – the body corporate) have approved a raise then all owners are responsible for their share of the debt.
If there us no formal decision making process or commmitee strucuture in place then I would suggest that this should also be a priority.
In the meantime I would seriously consider getting a quote and paying for the correct insurance anyway – split three ways the difference may not be too extreme. Argue the toss with the other two owners later. At least I would know that MY assets were covered.
Gentleman’s agreements are fine – when all are in agreement but when they are not………..
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Ausprop,
PS – There is a Strata Management Book available for purchase (~$30) that may be a good investment if they are DIY managing.
The book can be found in good newsagents – the author often has a piece in the RE section of Saturday’s West. Sorry details escape me at the moment.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
Hi Derek,
thanks for those ideas. The book could be a handy resource even for myself. I have also been told that the Dept of Justice is responsible for administering the Strata Titles Act and that apparantly the ‘Strata Titles Referee’ can make an order on such matters. Will get to the bottom of it.
Extensive list of ‘Off The Plan’ property available for sale in Perth.John – 0419 198 856
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