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why are brissy strata fees so high?

Discussion in 'Property Management' started by Peta Notari, 11th Sep, 2015.

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  1. Peta Notari

    Peta Notari Well-Known Member

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    Hi all

    Just wondering how many of you have noticed a jump in strata fees in brissy units compared to syd ones?

    There doesnt seem to be any consistencies - some are small complexes, others much larger. Age varies. Some have onsite managers, others dont. Some have lifts pools bbqs gyms saunas. others do not. Im seeing strata fees upwards from $3500 to $5100 for 1- 2 bedders!!!!

    Is it a higher premium for flood insurance cover?

    Thanks
    peta
     
  2. Biz

    Biz Well-Known Member

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    They jack them up for people from Sydney.
     
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  3. Scott No Mates

    Scott No Mates Well-Known Member

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    They're trying to encourage you to move back to a big city from a country town.
     
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  4. Richard Williams

    Richard Williams Buyers Agent - Southeast QLD Business Member

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    Is that per annum or per quarter?? If its $3500-$5100 per year then that seems normal to me (depending on facilities), our 2 bed unit in Sydney is in a 3 story walk up building with nothing much in the way of facilities, no lift or pool or gym or automatic garage door etc and we pay $800 a quarter which is necessary to cover normal running costs and help with the 10 year maintenance plan which is required by law to allow funds to be in place to pay for up coming repairs into the future rather than having to raise a special levy. Our building only has 12 units and was constructed mid 70's.

    You need to look at the number of units and the facilities on offer and assess the fee's to see if they seem fair. Most modern buildings with high unit numbers and facilities would be upwards of $1000-$1200 per quarter. Also look at the sinking fund balance before buying to see how the scheme has been run over recent years.
     
  5. D.T.

    D.T. Adelaide Property Manager Business Member

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    Strata / body corporate fees are one of the reasons I prefer investing in houses.

    When someone mentions a yield % on a property, it's always worth checking what that includes. Higher strata , higher insurance, higher rates, etc can sour your yield quickly.
     
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  6. York

    York Finance Broker Business Member

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    If you think BC and strata is high, wait till you see the rates of some councils compared to Sydney!!. That will blown your mind.:eek:
     
  7. Peta Notari

    Peta Notari Well-Known Member

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    Hi all - thanks for your replies.

    Our strata unit in sydney i pay roughly $800/qu too but nothing much there thats a strata facility except the lifts. The gym is privately owned. I ask because some ive been seeing seem expensive and there is no rhyme or reason.

    Thanks again
     
  8. Azazel

    Azazel Well-Known Member

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    That seems high, but it depends on the age, location and amenities.
    You can still find small blocks of 6-8 for under $2k/year in decent suburbs within 10kms of the CBD.
     
  9. DiligentPM

    DiligentPM Well-Known Member Business Member

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    Strata fees soar once you have lifts, pools, spa's etc - owners subsidising the lifestyles of others