Body corporate

[hysterical]

Hi

Looking to make an offer for a townhouse in qld which is owned by the developer and no body corp. have been setup.

Is it advisable to add a special condition to have the body corp setup prior to settlement?

There are 4 townhouse in the block.

Thank you.

 

[Propertunity]

It is my understanding (I'm happy to be corrected) that the BC must be formed before settlement can occur.

 

[hysterical]

Thank you Propertunity

I just received the contract and there is a clause in the contract inserted by the seller as follows:

"The contract is subject to the sellers lodging a Community Management Statement and forming a valid Body Corporate. The sellers undertake to provide a relevant Body Corporate Statements 7 days prior to settlement. Should the sellers require more time to meet these requirements the buyers agrees to extend the time frame by a further 14 days. Settlement will only occur when these conditions have been met".

Based on the above, my questions are:

1. How should i add a clause so that I can pull out of the contract if the body contract fees are too high and

2. Given that there is no BC formed yet, is there any other BC checks that can be done ?

Thank you

 

[travelbug]

I'd check to see what's involved (especially cost wise) in setting the BC. Maybe ring as few BC agents.

Seeing that there are only 4 in the block it wouldn't be difficult to change things (assuming the builder is selling all the units). No-one likes high fees so owners will want keep costs to as minimum. It's simple, just change at the first AGM.

 

[hysterical]

Thank you.

Given that the seller is setting up the bc prior to settlement, it won't be my cost to worry about.

Yes you are right that we can change at 1st AGM