These reports look at the current systems and structures of the building and advise on the life expectancy of each.
Who does the report?
The regulations allow almost anyone to produce a report. This will take time to change but it is needed as the person providing the report needs to be qualified and competent.
Go for the Money!
What you will want to look at is to see if there is going to be any Special Levies. When? How Much? There will need to be a minimum of 3 financial plans for the Strata as this is a regulatory requirement. This may show an indication of a Strata Fee increase possibly.
What are the important aspects of the plan that you want to look for? The recommendations area of the plan will give you an idea of the issues that may need to be addressed in the near future. This is where you will get an idea of how much money you will possibly need to come up with and timelines for this.
The depreciation report is going to be the gold standard once it is fully phased in. It will be important for you to pay attention to the report so you get an indication of the overall life expectancy of the various systems and when they will need to be replaced and if there will need to be special levies imposed due to a shortfall in funds.
Depreciation Reports - Demystifying It!
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