How can your property in Budapest produce loss if it is not rented out?
1.Common Charges/ Expenses
Common charges are a foreign concept to those who have never lived in a condominium. The maintenance (lighting, cleaning, waste disposal...) of the common areas of condominiums in Budapest that include several apartments, and the maintenance of the whole area and building make up the common charges. This liability is payable every month, regardless of whether the property is occupied or not. The unpaid charges can rise rather fast, such that a foreign home owner who does not visit his property for several years may find that during his absence his apartment was mortgaged because of mounting debt.
2. Basic public utility fees
Most of the public works do not only bill an actual consumption, their bill also contains a basic fee that has to be paid. Flat rate billing can also present a problem when the provider does not bill the actual consumption but an estimated or average consumption. The service can easily be turned off after bills remain unpaid for several months, and an extra fee is often required for the public service to be reinstated. In extreme situations, the meters can be uninstalled, and it is a very complex and costly procedure to get the meters back.
3. keeping conditions
Having a realty administrator is also important for keeping the condition and the state the apartment is in. A neighbour would probably not necessary recognize any damages caused by water, for example, though the expenses of a restoration could drastically be reduced if the damage was noticed on time.
Problems get worse if not only our property but someone else's apartment is affected as well. If the source of the damage is clearly in our apartment, the common representative of the whole building must view the property as well. If there is no one at home to let the common representative in, then, in the presence of an official witness, the representative can open the flat and get in to solve the problem. Whatever happens, all costs have to be paid by the owner of the flat.
4.Official communication
Important messages and letters are regularly sent to the home address by both the condominium board and the authorities. These letters can affect the financials of the owner. If there is no contact address or the home address of the owner is not on file, all official letters can be long expired by the time they will be found by the owner.
The above cases emphasize why it is important to think about having an appropriate real estate manager as it is much better to pay a predictable monthly fee than paying a horrendous amount of money after a longer period of time and having to face many additional problems.
Source:
towerbudapest.com
