Key Factors Influencing The Maintenance Charges Of Flats/Apartments

The property ownership pattern in this country has undergone a significant transformation due to the real estate boom in India. Nowadays, more and more people are opting for apartments due to their convenience and affordability. Although an apartment building offers various facilities, it is crucial to pay the maintenance charge to guarantee the smooth functioning of all amenities. In this article, we’ll discuss the key factors influencing the maintenance charges of flats/apartments.

What is an Apartment Maintenance Charge?

The apartment maintenance charge is a fee collected by the residential society to ensure the buildings and complex premises are well-maintained. It covers all the necessary expenses, such as maintenance, common area electricity, common areas cleaning, waste management, security, caretakers and service charges, to guarantee an exceptional living experience for the residents. Depending on the size of the unit, this charge can vary. The amenities you receive are directly proportional to these. The more you pay, the better the facilities you’ll receive, and vice versa.

The maintenance charges on flats are not only a financial obligation but also a contractual commitment that is firmly established in the builder-buyer agreement. In accordance with Section 6 of the RERA Act 2016, it is mandatory for every allottee entering into such an agreement to promptly settle these charges.

Components of Maintenance Charges in Flats

Every year, the cost of repairing and maintaining the building is one of the major expenses that comes to be managed by the Owner’s Association. When it comes to the costs of housekeeping, security personnel, equipment, power, and other expenses, the residents split them evenly among themselves. To help you understand the maintenance charges better, here are a few typical components you should familiarize yourself with.

• Building maintenance: This covers all the necessary repairs and painting of the buildings.
• Common area maintenance: This involves the upkeep of various areas such as lobby, passages, parking areas, hallways, elevators, playgrounds, gardens, and more.
• Security and surveillance: The costs for CCTV, security personnel, and other safety measures fall within this category.
• Utilities: Utility expenses include paying the common area electric bill, municipality taxes, and water.
• Housekeeping: Payment for the housekeeping staff, who ensure hygiene and cleanliness, is a significant component of the maintenance charges.
• Administrative expenses: This category encompasses the salary of building maintenance staff as well as office expenses.
• Contingency/Sinking funds: A part of the maintenance charge is set aside to create a reserve fund for unexpected expenses.

The Consequence of Not Paying Maintenance Charge

If a member fails to pay the flat’s maintenance charge multiple times, they are ineligible to participate in the society’s Managing Committee election. Additionally, any individual who wishes to compete for the management committee position must have a clean record of fee payment. The high court has even stated that society has the right to expel individuals who frequently fail to pay the charges. If the outstanding dues are not paid, the defaulter may face difficulties in selling the flat or unit. If the dues are not paid, the society can refuse to issue a NOC.

Also Read: Formalities for Registering a Flat/Apartment

Factors Influencing Maintenance Charges

The amount of the maintenance fee can differ between societies. The charges are determined by several variables listed below.

• Repair Costs: Before calculating this cost, one must factor in the expenses for drainage facilities, sewage management systems, lift maintenance, security equipment, generator facilities, streetlights, and other similar common amenities.
• Service Fees: The costs cover various items such as public area lighting, lift operators, park and garden maintenance, security, and cleaning services, among others.
• Non-occupancy Fees: The cost will be charged to you and is already included in the full-service price for empty apartments.

A sinking fund, also called an emergency reserve, is money saved for unexpected situations. The amount of money in the fund is determined by the governing committee of the housing organization.

There are several factors that impact the cost of maintaining a flat, and these are just a few examples. Ensure that you ask your apartment builder or the Resident Welfare Association (RWA) about the expenses connected to that specific complex.

Conclusion

The real estate market is experiencing a steady rise in demand for both residential and commercial properties. To make an informed decision when choosing an apartment, it is recommended to take into account the recurring monthly fees for maintenance charges, as outlined by RERA.

To put it simply, maintenance fees are crucial and every owner of a flat or apartment bears the obligation of paying them. These fees are crucial as they cover various services you are entitled to as the property’s legal owner, ensuring a peaceful and enjoyable living experience in the apartment.

Desai Homes is one of the best builders in Kerala, offering a wide range of 2 and 3 BHK apartments across prime locations, including Kottayam, Thrissur, Kozhikode, Kochi, Trivandrum, and Thiruvalla, designed to provide modern living spaces with quality construction and thoughtful amenities.

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