The ACT Government has announced widespread rate increases for unit owners – but should this mean body corporate budgets take a hit too?
The ACT Government has changed the way it does rates on housing, which is going to have a big impact on strata title holders. A recent report from the ABC indicates that for apartment owners, rates may go up as much as 33 per cent as they come in line with detached house rates.
This is somewhat counteracted by measures to abolish stamp duty, but nonetheless is going to hit the pocket of ACT owners hard.
These rate increases aren’t going to happen everywhere – the ABC reports that units in O’Malley will have the 33 per cent rise, with many more between 20 and 30 per cent. However, even the lower end of the rate increases (like in Fisher and Chapman) will still mean a 10-12 per cent increase in payments.
While the temptation may be there to change levies and budgets because of this, it is crucial that these are maintained. Body corporate budgeting relates to the direct cost of running your building, rather than the services provided by the government
Despite the frustration, living in Canberra strata still offers a wealth of opportunities for owners. If you have any questions, contact the team at Civium Strata.