A key component of the budget is the maintenance reserve (also called maintenance provision or simply reserve) paid monthly by every owner. Pursuant to the German Condominium Act (WEG), saving up an adequate reserve is prerequisite for the proper management of a housing estate. The money earmarked for the reserve is taken out of the condominium fee that you pay as condo owner. The funds collected this way are primarily intended to cover major reinstatement measures involving the commonhold property, such as the replacement of the roof or of the heating system. Paying into the maintenance reserve in regular instalments distributes the financial burden of major investments across several years. There is no general benchmark regarding the exact amount you will have to set aside toward this reserve each month. Rather, the amount depends on the age, condition and fit-out of the house where your condominium is located.
Whether Prior to an Acquisition...
Even ahead of an acquisition, the Accentro Real Estate Encyclopaedia offers interesting facts and decision guidance: We will coach you through the first steps on your path to homeownership. For instance, it provides information on the process flow of a condominium purchase. It will also tell you what sort of documents you need in order to buy property, and where to obtain them.
... or after – Our Real Estate Encyclopaedia Provides the Answers You Need
Once you have bought a property, you may wonder who is going to manage your condo and how. After all, caretaking your property is one of your main obligations as a condominium owner. In addition to numerous tips and suggestions, you will find answers here to many questions involving the property management subject, such as: What does “individual freehold ownership” mean? What exactly do “condominium regulations” govern? And what does the term “condominium fee” imply? In addition, we elaborate subtle differences between terms such as “real estate management” and “corporate real estate management.”
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