Iam staying in apartment complex where the areas of apartments varies from 500 sqft to 1800 sqft.Majority of apartments are of higher size. Maintenance calculations are based on sqft, this results in higher size apartments paying more for the same amenities. It is as low as 1000Rs to 3600Rs.Association says we have signed sale deed ,and according to it payment is prorate based on area.Is it correct. Please guide us how to come out of this? Is there any judgment in favour of equal payment for common expenses.
There are different expenses books of accounts needs to be calculated to collect per month maintenance.
For common expenses equivalent to irrespective of the flat size are common cleaning, garbage pick up, common light, lift, common electricity charges this should be count equally.
Per sq ft wise sinking fund, painting fund, future reparing or construction work related funds etc.
1) Maintenance would be as per bye laws adopted by the association
if it is provided that maintenance would be as per area of flat then association can charge you higher maintenance for bigger flat
3) in Maharashtra as per model bye laws maintenance is equal irrespective of size of flats . Water charges depend upon number of inlets in flat whereas maintenance is same for all flats
1. Yes, this is most acceptable formula to impose maintenance charge and most Apartment Ownership Act provides imposition of the such tax on the basis of measurement of flat.
2. So the challenge if you decide to make on such imposition of charge then the same is without any merit and is advisable to avoid this.
Yes as per the rules the society can levy maintenance area wise or member wise. It is correct it cannot be challanged.
There is no standard guideline/ law for fixing maintenance in an apartment.However square feet basis (as per sale deed) is generally followed in all apartments for fixation of maintenance charges as that will be the right.
Maintenance can't be on square feets. All the common expenses can be only shared by no of flats. Property tax can be on area of House
Dear Sir,
There is no settled law on the payment of maintenance costs. However you may see the following.
================================================================================
Bombay high court judgment, which held that maintenance charges shall have to be equal amongst all members irrespect . of their carpet area or number of bedrooms. The same shall not be levied on the basis of per sqft.
Bombay High Court
Sunanda Janardan Rangnekar vs Rahul Apartment No. 11 ... on 10 August, 2005
Equivalent citations: 2006 (1) MhLj 734
Author: D Karnik
Bench: D Karnik
JUDGMENT D.G. Karnik, J.
Dear Sir,
Popular methods of calculating Maintenance charges
There are two common ways in which each housing society can decide the service charges for each member. The society is free to choose the design that suits their respective needs. The two popular methods used to calculate maintenance charges are:
Flat Wise: Flat wise service charge module calculates sum or total maintenance charge to be incurred by the society and divides equally among all flat owners irrespective of the size of the flat. This method brings a sense of fairness to each flat owner and society resident. This method is best adopted in housing societies where each flat is of the same size.
Area Wise: Under the Area Wise maintenance charge method, the total costs incurred by the society are charged according to the area in terms of per square feet owned by each member. The common areas are divided equally using a fixed rate while flats are calculated depending on the size of the apartment. For example, If acrate is Rs. 2/sqt then for 1000 sqft flats it is Rs 2000/per month and for 1500 sqft flat it is Rs 3000/per month.
Understanding Maintenance Charge Calculations
Housing societies have the option of charging their maintenance charges in either per square feet or per flat basis. Regulations in most states are not clear, but the model bye-laws of MOFA provide a simple solution. As per the Act, each housing society must follow a combination of per sq ft and per flat for various heads. There are however some exceptions as Co-operative Housing Socities (CHS) are not allowed to levy maintenance charges based on the area of flat of members under MOFA. This was clearly mentioned in the judgment following a writ Petition of Venus CHS Ltd and another, when the cooperative housing society wanted to switched from flat-wise monthly charges to area-wise monthly charges.
This is best practice, otherwise owners with less area shall be penalize with more payment. depends on committee to adopt how to calculate maintenance. But common expanses like water, electricity, lift etc. common expanse will charge,
Yes it is correct.
Calculation of maintenance varies from society to society depending on its bye laws.
So calculation depending on sq. Ft basis is correct method of calculation as per byelaws of your society.
Under the Area Wise maintenance charge method, the total costs incurred by the society are charged according to the area in terms of per square feet owned by each member. The common areas are divided equally using a fixed rate while flats are calculated depending on the size of the apartment
Expenses on Building Repairs: Expenses on building repairs are usually charged on a per square feet basis to all members.
Expenses on Lift Repairs: Lift repair expenses are charged per unit basis and used for lift repair and maintenance. The total expenses incurred for lift operations including repair and regular expenses like electricity charges. The total expenses are divided by the total number of flats and a final figure is reached which is uniformly charged to each member.
Sinking Fund or Corpus Find: Sinking fund, also known as corpus fund is the contribution by all flat owners for specific purpose like a fund for reconstruction of building in the future, carrying out such heavy repairs, structural additions or alterations to the building.
Parking Charges: Parking charges are levied on a per flat basis and the final amount is decided by the general body of the society.
Water Charges: Water charges are levied depending on either the number of water inlets in each apartment or depending on the reading of water meter installed for each dedicated apartment unit. The water meters measure the consumption of water of each flat separately. The fee is decided by the general body of the society.
Property Tax: In case the cooperative housing society is authorized to collect property tax on behalf of the government, the tax is determined on a per square feet basis or as specified by the concerned state government.
Insurance Charges: Any expenses incurred on insurance of building and equipment used in the common areas can be shared with the members in accordance with the built up area of their respective apartments
