maintenance fees in Egypt

[dave99]

Originally Posted by queenie40something

Hi all

Our maintenance fees are as follows:

1 bed apartment - 55sqm = £1500
2 bed apartment - 110sqm = £3000

Maintenance fees are paid only once in a lifetiine on handover and are refundable upon selling.

The new owners then pay £1500.

This seems like good value
- I just cannot see how the maint company can do much if they are effectively only get the interest from the initial payments to fund all activities / repairs etc.

How many apartments are there ?
What is in the contract for maintenance ?
Has Anyone actually sold and got the maint fee back yet ?
Is there a lifetime guarentee for the maint on the apartments ?

[queenie40something]

Hi Dave

The resort is not finished yet. The contract states once only payment and a tenants association ( supervisors committee ) will be formed whom will balance the Accounting and Yearly expenses with the owner for maintenance spent on the resort at the end of each year.

There are around 80 blocks with 6 apartments in each block.

[lovesquadsue]

In the contract we recd for the apartment we thought about buying on Suleder (which was 3 bed, 130SQM) the maint fees were £400.00.
I had a few queries on the contract and this was one of them as it didnt mention anything about future years - my fear was that the following year they could put them up by 100% - the contract didnt state anything about future years etc..
Hope this helps,
Sue

[dave99]

Originally Posted by queenie40something

Hi Dave

The resort is not finished yet. The contract states once only payment and a tenants association ( supervisors committee ) will be formed whom will balance the Accounting and Yearly expenses with the owner for maintenance spent on the resort at the end of each year.

There are around 80 blocks with 6 apartments in each block.

The Club idea is great but without a guarentee from the developer / owner how do you know that all expenses will be covered for EVER - I think this unlikely and I would be a bit worried about where the money will come from in 5 year time if you sell and ask for your maint fee back if the Club is short of money for the maint of the apts. - what do you think ??

[queenie40something]

Originally Posted by dave99

The Club idea is great but without a guarentee from the developer / owner how do you know that all expenses will be covered for EVER - I think this unlikely and I would be a bit worried about where the money will come from in 5 year time if you sell and ask for your maint fee back if the Club is short of money for the maint of the apts. - what do you think ??

Hi Dave - exactly my thoughts and I have bought this to the attention of my lawyer who is in discussions with the developer. I havent signed my contract yet as I had a few queries and things that I wasnt happy with that have now been changed. Just a few more to iron out.

[dave99]

Originally Posted by lovesquadsue

In the contract we recd for the apartment we thought about buying on Suleder (which was 3 bed, 130SQM) the maint fees were £400.00.
I had a few queries on the contract and this was one of them as it didnt mention anything about future years - my fear was that the following year they could put them up by 100% - the contract didnt state anything about future years etc..
Hope this helps,
Sue

Not surprised nothing about future yearsnot being covered
- do you now have an apartment with a better contract ?

My contract states the cost in year 1 and year 2, and that the Owner Club will decide after that. I'll cover any shortfall in first 2 years, however we expect to have a surplus to put towards future years.

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[Peter Mitry]

I totally agree with dave99; how can the Developer know what the position will be in five years time? The only way maintenance can run effectively and with you in control is when the owners form a committee once the complex is completed, elect a chairperson and decide between them the costs of maintaining and insuring the building. The total figure is then apportioned on a m2 basis and reassessed each year. This will normally be done in conjunction with the owner as he will still represent the unsold apartments but he will not be able to arbitrarily set the rate which could then escalate out of control.

[cin7166]

Hi,

What's the average maintenance fees in Hurghada? I'm still undecided whether to go for Regency Beach, Marsa Alam or be done with it and go for Sahl Hasheesh. I'm just really wary about rentals and Marsa Alam has a rental guarantee. In my experience, people want walking distance to beach and facilities. I can't imagine people wanting to go too far to buy supplies for a self catering holiday, so would require restaurants around them etc.

What do you think?

[awahee123]

I don't think there is any uniform rates here just what the developers think they can get comfortably,no doubt fees will rocket in future years.

[dave99]

Originally Posted by awahee123

I don't think there is any uniform rates here just what the developers think they can get comfortably,no doubt fees will rocket in future years.

Fees can be controlled - there is no reason to assume that they will "rocket"

- if you want to control the fees then do your homework and buy into a development where there is already an Owners Club that will be running the maintenance, AND setting the fees.

- if you can't be bothered to find out, or the developer will not say, or has decided that you will NOT have any say, then you could well be stuck with big increases

- but don't forget that if you are looking for "Hotel" like facilities then they have to be paid for 365 days a year even if you are NOT there.

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