16. Determining levies made
To determine if levies have been imposed on your unit in the last three years, you should meticulously review financial statements, association communication, and meeting minutes. This review will help you identify instances where levies were demanded, the reasons behind these charges, and the specific projects or expenses they aimed to address. Providing accurate information about levies ensures that potential buyers are aware of any non-routine financial obligations associated with the property.
Here is a break down the key steps and considerations:
| Reviewing financial statements | Thoroughly examine the association's financial statements for the last three years. Financial statements provide a detailed account of the association's financial activities, including any instances where levies were imposed. Look for specific entries related to levies and note the amounts, reasons, and timeframes. |
| Scrutinising association communication | Review official communication from the Commonhold Association. This includes notices, emails, or any written correspondence that may contain information about levies. Association communication is a valuable source for understanding the context behind levies, the reasons for imposition, and the projected use of funds. |
| Analysing meeting minutes | Delve into meeting minutes to uncover discussions and decisions related to levies. Meeting minutes often document the deliberations, approvals, or resolutions regarding the imposition of levies. This information provides insights into the association's decision-making process and the consensus among unit-holders. |
| Identifying levy instances | Identify instances where levies were demanded on your unit during the specified time frame. Note the reasons behind each levy, whether it was for unexpected repairs, specific projects, or other urgent financial needs. Understanding the context of each levy is crucial for providing accurate information to potential buyers. |
| Specifying projects or expenses | Detail the specific projects or expenses that levies aimed to address. Whether it was for emergency repairs, improvements, or other non-routine expenses, specifying the purpose of each levy helps potential buyers comprehend the nature of the financial obligations associated with the property. |
| Ensuring accuracy and clarity | Ensure that the information about levies is accurate and presented clearly. Potential buyers rely on this information to assess their potential financial responsibilities, and accuracy is key in fostering trust and transparency. |
| Communication with potential buyers | When providing information to potential buyers, communicate the details of levies in a transparent manner. Clearly articulate the reasons behind each levy, the specific projects or expenses they addressed, and any relevant timelines. This transparency helps potential buyers make informed decisions about their potential investment. |
| Legal compliance | Ensure that the imposition of levies complies with any legal requirements or regulations governing Commonhold Associations in your jurisdiction. Adherence to legal standards is essential for maintaining the association's financial and legal integrity. |
By meticulously reviewing financial statements, association communication, and meeting minutes, you can accurately determine the levies made on your unit over the last three years. Providing this information ensures transparency and allows potential buyers to make informed decisions regarding any non-routine financial obligations associated with the property.