Body corporate fees in perspective.
I find new prospective apartment buyers often balk at first learning that, in Wellington, body corporate fees on a reasonable size (100 to 140 m 2) 3 bedroom apartment, valued at $ 500,000 to say $800 000 are typically $ 4000 to $8000 a year. Including a provision for maintanance, often based on a 10 year schedule, professionally prepared. The first buyer comment if coming from a house background is that they think that “a lot” .
Last night I saw it quoted that in NZ, the average homeowner spends $3000 a year on maintenance, but the true requirement ( calculated by some building authority) is actually $5000 a year. This is said to be one reason why most houses in NZ are in not very good condition by world standards.
There are economies of scale with apartments, balanced against the extra cost of running the body corporate . And of course the reason many buy apartments is the convenience of not wanting to bother with these time consuming issues.
All these mean that body corporate fee is generally a great deal!
February 10 2011 10:04 am | About Wellington Apartments