If you put money into a sinking fund can you get your proportionate contributions reimbursed by the new owner when settlement takes place?
I guess this means there can be some real hidden value if u purchase a property with a large sinking fund balance As you reap reward for contributions you didnt make
Nice try but no.
It's no longer your money. The money is collected to pay for upkeep on the property. Just because it hasn't been spent yet doesn't mean you can take it back.
Sinking funds are generated to pay for upcoming expenses. For example there may be $50,000 in the fund but in 2 years time the place may need all new windows costing $60,000.Whilst you cant get your contributions back it can certainly make a difference to the price when you come to sell the property.
Most prospective buyers will do a search of the Body Corporate records to ensure there is no large anticipated expenditure due and than has not be catered for meaning they will be likely to incur the potential cost.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Whilst you cant get your contributions back it can certainly make a difference to the price when you come to sell the property.
Most prospective buyers will do a search of the Body Corporate records to ensure there is no large anticipated expenditure due and than has not be catered for meaning they will be likely to incur the potential cost.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
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