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Look in to the management service when choosing a property

Post: Monday November 7, 2011

management service of property



We’ve talked about Property Price Index earlier. Now, we’d like to address “management service of the property” that creates comfortable living environments and maintains the building and facilities for a long term as one of the key points to choose a property that holds the property value.


To start with, anyone who purchased a unit of an apartment becomes ” a unit owner.” A “Condominium Association Board” manages an apartment in accordance with “the Condominium Unit Ownership Act”, “the Management Rule” and “the Regulations of the Use”.


A condominium association is responsible to manage the common spaces such as the entrance hall, elevators and meeting rooms as well as the attached facilities such as parking and garbage stations. Although a condominium association is obligated to manage and maintain individual patios and private gardens in principle, the parties posing the exclusive use rights of these properties will take charge of cleaning them regularly.


The board selected from members of the condominium association performs the tasks of the condominium association. The board gathers the management records of the building and facilities, plan and conducts repairs, and resolve a variety of problems by being the contact to gather opinions and requests from the unit owners. In addition, it also collects the management fees and the repair reserve savings from the management association members, and then checks the balance.


Management Fee:
It is the fees arising from daily maintenances and managements including cleaning and electricity of the common spaces and maintenance of the common facilities such as elevators.


Repair Reserve Fund:
It is a monthly saving to prepare for major repairs arising in the future.

Although the management association should manage the apartment independently, it is very common that some operations are outsourced to a management company because many tasks demand expert knowledge and abilities.



Responsibilities of a management company

  1. 1)Operational support for the management association
    - Assisting any administrative procedures to organize the board meetings as well as general assembly meetings and to participate in them.
    - Collecting and keeping the management fees and the repair reserve savings, etc., reporting the balance and assisting accounting.
  2. 2)Daily maintenances
    - Daily cleaning around the entrance hall, hallways, etc.   by using special devices and equipments
    - Gardening such as trimming plants and trees and
    - Regular checkups of water pumps, elevators, etc.
  3. 3)Renovation
  4. - Proposing and performing the long-term renovations such as a rooftop waterproof treatment, exterior painting, etc.


The operations listed above are general tasks. The areas of services and qualities differ depending on the management company as well as the size of the apartment. Apartment developers often assign a management company to an affiliated or subsidiary company in advance. Recently, it is becoming more common that management associations review to whom to outsource the management several years after the initial sales of the property.

This entry was posted in Real Estate News, Tips for chossing a property


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