Research conducted with 150 apartment owners this month by the WA Apartment Advocacy has shown that 69% believe that the strata fees they are paying represents good value for money.
The respondents to the survey were from a wide range of demographics with annual salaries ranging from under $40,000 right through to over $130,000 and with apartments located from Kwinana Beach right through to Hillarys and as far East as Armadale.
Typically those with higher incomes were paying over $1000 per quarter in strata fees, with the bulk (39%) paying between $500-$1000/quarter.
Ms Reece Director of WAAA stated that interestingly it wasn’t until residents were paying over $500 per quarter did they start to have amenities in their development such as a swimming pool, gym and entertaining precincts.
“What the research demonstrated was that while 48% were happy with paying the current strata fees, 48% would prefer to pay less and as a result have less amenity,” Ms Reece said.
“Our state wide research conducted in 2017 verified that only 30% of residents were utilising amenities such as a pool or gym in their apartment development.
“However an additional 20% enjoyed knowing it was there, even though they were not accessing the facilities.
“It is important that when people are considering an apartment and the associated strata fees, that they are realistic about what amenities they are going to use and the frequency of use, before they commit.”
But as Ms Reece stated, most people did not look at strata fees in comparison to maintaining a home.
“Our research has shown that when you are considering the costs associated with a home’s maintenance and insurance, maintaining a pool, paying for gym membership and the like, in most instances the fees associated with strata management are more cost effective than owning a traditional home,” Ms Reece said.
“I am sure if you were to add up all the Bunnings receipts over a year you would be surprised and shocked about the expense and time it takes to maintain your average home.
“At the end of the day strata fees should be seen as an investment in order to maintain your asset so that it represents well at the point of resale and consequently buyers need to think of the long term when reflecting on strata fees.”
If you found this research interesting than maybe we can help uncover something unique about your projects? If you would like to talk further than contact Samantha Reece on 0452 067 117.