RED FLAG of critical condominium management risks

Why condo fees in Greater Toronto Area 3 times higher than in Greater Montreal Area

Why GTA condo fees are 3 times higher than in Greater Montreal and Quebec City Areas?

Do you feel your condo fees must be lower?

I had the same questions being a condo owner, condo rental investor and a board director

Condo fees of Greater Toronto Area are ~ 3 times more than in Greater Montreal Area

There is not a lot of published information about condo fees on the market. Some articles express the opinion that condo fees in Greater Toronto Area are REASONABLE and there should be negative consequences if condo fees are low. Some articles  indicates that condo fees in Montreal are slightly lower than in Toronto. And some articles advocate not to buy a condo with the assumption of low fees.

At the same time we have found the information that indicates that the difference between Greater Toronto Area condo fees is OVERWHELMING, ~ 3 times higher than in Greater Montreal Area!

2018 year statistics of TREB, QFREB :

The statistics did not change dramatically last two years and we must declare that 

 

AVERAGE CONDO FEES IN GREATER TORONTO AREA

IS ABOUT 225 % HIGHER THAN IN GREATER MONTREAL AREA

And as we already mentioned in our article Some unique numbers and interesting facts about Condos maintenance fee in Toronto and North York that blasted the previous myth about maintenance fees last year (table below is condo buildings comparison of that article)

There is an overwhelming (more than 100%) condo fees difference even between Toronto condo buildings that have approximately the same level of services, set of amenities and very high market value. 

The lowest maintenance fees, $0.50/sf/month, has a building that has almost the highest market value that proof the fact that that building is greatly maintained and show the point that condo fees should not be high. Condo fees might be just efficiently and wisely spent!

 

 8 Buildings in Toronto 

How that big difference might be explained? 

1.Quantity and quality of condo services. 

But do you think the cost difference might be hundreds percents? 

2. Quality of construction

3. Condo management professionalism and a team work of condo directors (the most influencing).

But one of the biggest risky areas of condo management must getting a proper attention of board directors, property managers and  condo owners:

Getting independent condo service providers through

Public Tendering Platform

 dedicated for condominiums’ needs

is the first step to mitigate a conflict of interests risk and avoid risk of possible referral fees which are like a mark up paid by condo owners

If you are a condo owner or director and want to discuss this problem with your building neighbours or with owners in other condo building, you could use secure Owners and Directors channels of www.condo-social.ca network  

If you are a condo manager that is truly interested to work in the best condo owners’ interests and find independent service providers you could Sign Up at

 www.condo-fairtender.ca to 

If you are a condo director and want to mitigate a conflict of interests and verify your property management company, you could Sign Up at

 www.condo-fairtender.ca 

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