Management fee increase

Plasandrunt

Hi.

I recently bought an appartment and moved in at the end of the June. Couldn't be happier with the place and everything has gone perfect so far.

However last week i recieved a letter about my management fees. A new management company took over when the financial year ended on the 31st of July and have implemented at an increase of nearly €500 on the previous years fees, which was decided and agreed on at the AGM which occurred before I moved in. The minutes of the meeting were provided but there doesn't seem to be any actions that will occur that such a jump in price seems reasonable. Most of the appartments here seem to be rented out so i suppose the landlords can just use the increase in fees as an excuse to increase the rent but I'm an owner occupier with no roommate (nor desire to have one)

Do i have any options here? Obviously i'm not going to refuse to pay the fees but i don't think the increase is justified.

athtrasna

Firstly you need to do some reading up about owning in an managed development. The management company is the legal entity comprised of all owners in the development. They usually employ a management agent to manage the day to day running of the development.

The agm has to ratify the budget for the next financial year, this would have been sent out to all owners in advance of the agm and beyond proposing and seconding there are unlikely to be specifics in the minutes.

Any demand for fees after an agm should also include a copy of the budget. Ask the management agent for a copy of the current and previous budgets and compare them to see where costs have increased. Insurance and refuse for starters

davo10

Management companies are required to have a sinking fund, could be they are also topping this up to the required level. As an owner you can contact the managing agent and ask for clarification on the fees, and remember, if you want to influence the decisions of the management company, you must attend the AGM.

Paulw

Plasandrunt wrote: »

I recently bought an appartment and moved in at the end of the June.

However last week i recieved a letter about my management fees. A new management agent took over when the financial year ended on the 31st of July and have implemented at an increase of nearly €500 on the previous years fees, which was decided and agreed on at the AGM which occurred before I moved in.

Do i have any options here? Obviously i'm not going to refuse to pay the fees but i don't think the increase is justified.

The budget was properly approved at an AGM. You were notified of the fees and such details when you became a member of the management company, by buying your unit.

You can get a copy of the full budget from the management agent, and may also be able to get a copy of the budget for the previous year, so you can understand the difference.

Ultimately though, it is all normal and above board, and you can do very little now.

Pawwed Rig

Plasandrunt wrote: »

Most of the appartments here seem to be rented out so i suppose the landlords can just use the increase in fees as an excuse to increase the rent

The rental market (or economics) do not work like that.