Condo Review: Legalities and Jargons
Have you ever looked into a contract and hesitate on the terms just because you do not understand what it means? No worries. You are not alone. There are a vast expanse of vocabularies and terminologies that only a few chosen specialties know.
In the world of property and realty rights, there are also jargons which may mean another thing to another forte. The Peterson Group Bespoke Condominium and Residences, leading provider of luxury apartments and residential for expatriates in Singapore, Kuala Lumpur, Malaysia, Jakarta, Indonesia and Hong Kong, guides us through the common jargons and legalities used in the field of condo ownership.
• Administrator He is mostly the building manager who explains policies, intervenes when there is a conflict between tenants, and approves permits.
• Agent Although not all condos have an agent, The Peterson Group appoints one for each of our client. You can directly contact him for special service request even when you are already a long-time client.
• Annual General Meetings (AGM) This is vital for condo owners to hear reports from administrators (such as the review of association dues, etcetera) elect a new board, and deal with any pressing issues.
• Association Dues This is also called contributions or, colloquially, condo fees and used to pay services including electricity bills, salary of the security personnel and cleaning crews and repairs.
• Bylaws This fancy word is synonymous to procedures and regulations.
• Caveat In case of any delinquency, say when a unit owner neglect to pay association dues, the condo corporation has the right to file a caveat which is defined as a warning or notice against the title. Don’t take caveats lightly: these can be enforced the same way as a bad mortgage.
• Common Property/Elements These are the areas and facilities that everyone has the right to use: elevators, lobbies, gym, swimming pool, spas, playgrounds, garden paths, etc. It also includes the plot of land that the entire condominium building stands on.
• Estoppel Certificate This is a certificate given by the Condominium Corporation that shows the status of your payment of Association Dues. Owners should take hold of this to ensure that you have no arrears.
• Special Resolution Important community decisions such as enacting or amending bylaws, or transferring or leasing common property, needs the agreement of a majority of not less than 75% of the total population.