# Buying an apartment with poorly maintained common areas



## amateurbuyer (21 Jul 2014)

Hello there,

This is my first thread but I have read the posting guidelines so if I have made any errors please forgive me. I also searched the forums and haven't been able to find a record of this question before.

I recently went 'sale agreed' on an apartment which looks lovely on the inside, but the common areas seem to be poorly maintained. It looks like the exterior hasn't been painted in years and there are some areas which look like they haven't been swept in months. I'm concerned that this might be a bad sign and am getting a bit nervous about my decision. I'm even wondering if the immaculate interior is the result of a recent paint job to hide something.

Can anyone share any advice for a first-timer? Has anyone had a similar experience? Thanks in advance.


----------



## 110quests (21 Jul 2014)

I think you should seek out the Management Co. Asap and discover the status.

Who they are, what is the status of their accounts , are there many in the block in arrears, etc 

I hear some management cos are in trouble so you do not want to be caught with having to pay extra mngt fees in the future. 

Sounds to me that if green areas are neglected looking etc that there is trouble in the background. 

Don't proceed until you get management accounts. Your solicitor should do this .


----------



## postman pat (21 Jul 2014)

yes i agree,this really is a bad sign of things to come,be very careful as if you can see this neglect ,what other thing are being neglected that you cant see?


----------



## lantus (22 Jul 2014)

painting the external walls can be a hugely expensive job, unsurprising its not been done. sweeping is very generic. You can clean an estate from top to bottom and then 5 minutes later some kind person lobs a bin bag out their car window.

You should look at all the elements that make up the common buildings and grounds and try to gauge what work if any has been done. Look at the accounts for the last three years. Track service fee income and arrears over that period. If fee income is decreasing and expenditure decreasing and arrears increasing then that's a sign that the system that maintains your building is potentially not operating properly. Unless the accounts specify it (which normally they don't) find out the service fee levels and number of units in the development. You can then work out what the projected income should of been for those three years.

Even IF service fee income is steady or rising as reflected by the CRO accounts it may only be a % of the total figure. i.e. only a small percentage of the unit owners may be paying. There are good OMCs out there but there are more bad ones.

Its a flawed system. People can easily get a bee in their bonnet about the evils of the management company and getting bills and cease making payment. Unit owners effectively destroy their own property values and saleability. They then will spend the next 20 years blaming it on the corporation.

Basically do some homework and see what the figures say. After I had the figures I would also contact the directors (NOT the agent) and talk to them. Explain your a prospective buyer and try to get a feel for how they manage the estate, their strategy, thoughts about a few key accounts figures etc.


----------



## amateurbuyer (22 Jul 2014)

Hi all,

Thanks for your replies. I appreciate it.
Could I ask where I would get the directors information? I searched the CRO for "<address> Management Company" and didn't find a match.

Thanks again


----------



## Steven Barrett (22 Jul 2014)

What are the names of the directors/ management company and I will get it for you. 

In the US, the health of the management company bank account is as important a factor as any in buying an apartment. Buyers want to be sure that the apartment block/ complex will be kept clean and to a high standard. It's all relatively new in Ireland but we will follow soon. 


Steven
www.bluewaterfp.ie


----------



## amateurbuyer (22 Jul 2014)

Hi SBarrett,

Thank you for your kind offer. However, I don't think I am allowed to post names here and don't yet have sufficient privileges for PMs


----------



## twofor1 (22 Jul 2014)

amateurbuyer said:


> I recently went 'sale agreed' on an apartment which looks lovely on the inside, but the common areas seem to be poorly maintained. It looks like the exterior hasn't been painted in years and there are some areas which look like they haven't been swept in months. I'm concerned that this might be a bad sign and am getting a bit nervous about my decision. I'm even wondering if the immaculate interior is the result of a recent paint job to hide something.


 
Generally it is bad form to go ‘’Sale Agreed’’ and then bring up issues that were always apparent. It would be different if your solicitor or surveyor made you aware of issues that you could not be aware of. 

Having said that, as you are an inexperienced first time buyer, and with a persuasive auctioneer who love inexperienced first time buyers, I can see how some might get to this stage and then have second thoughts.

Nothing is legally binding until contracts are signed, you can, if you remain concerned, pull out at this stage and have your deposit refunded. The issues you mention would concern me greatly, there are plenty of apartments for sale that do not have these issues.


----------



## Steven Barrett (22 Jul 2014)

amateurbuyer said:


> Hi SBarrett,
> 
> Thank you for your kind offer. However, I don't think I am allowed to post names here and don't yet have sufficient privileges for PMs



I sent you an email through AAM, don't know if you received it. If not, email me at steven@bluewaterfp.ie


----------



## amateurbuyer (22 Jul 2014)

Hi TwoForOne,



twofor1 said:


> Generally it is bad form to go ‘’Sale Agreed’’ and then bring up issues that were always apparent.



I didn't get to check all the common areas when I was at the first viewing. I grabbed a glimpse during the last view (from outside the gate) and didn't think much of it at the time. It was only afterwards that I was advised to watch out for such things. I recently returned to check and seen that it is in the same state. I don't mean any bad form and am prepared to become part an active part of the management if that would help. I'm just worried there might be a problem I can't fix.

When you say 





> The issues you mention would concern me greatly...



Is there something in particular that comes to mind. Is there something I should be checking apart from management company documents?

Thanks


----------



## amateurbuyer (22 Jul 2014)

Hi SBarrett,

Thanks very much. I have asked the EA for the details and will get back to you ASAP. Cheers!


----------

