If you own a shared housing solution, you may be considering hiring a body corporate manager. A body corporate manager is responsible for the management of a property which is jointly shared, such as a large condominium complex. A good corporate manager can be invaluable to a property owner, as the work they do can help to free up time and resources which can be used for other projects and developments. Below is the answer to 3 questions you may have when you are hiring a body corporate manager.
What level of authority does a body corporate manager have?
It is important to not that a body corporate manager does not have the authority to make day-to-day management decisions about the how the property is run. A body corporate manager is responsible for organising meetings between the owners of the property, taking accurate minutes of any meetings and preparing the monthly, quarterly and annual financial statements. You may wish to grant the body corporate manager the authority to pay certain utility bills, but they will typically not have the authority to sign checks or to authorise other payments without your express permission.
Should I seek advice from the body corporate manager?
Because a body corporate manager will develop an excellent understanding of the property, you may wish to clarify or seek advice about certain matters. While this is appropriate, it is important to remember that although a body corporate manager will have a good working knowledge of health and safety legislation, zoning restrictions and other things you need to comply with, they are not a qualified lawyer and so they should not give legal advice. You should also keep in mind that although they will know about the property, the body corporate manager is not a real estate professional and so you should not seek advice about the value of the building compared to others on the market.
Should I allow the body corporate manager to manage the funds for the property?
The management company will be willing to collect and bank income and other funds from the property so they can be managed on your behalf. You should be able to dictate exactly which funds they have custody of. The advantage of allowing a body corporate management team manage your funds is that it will help to prevent fraud and thief as it will make it all but impossible to access the funds without the proper authorisation.
If you would like further information and advice, you should contact a body corporate management company.