Society maintenance charges explained: what you pay and what it covers

Maintenance charges are a regular payment, usually monthly, that residents of an apartment complex or gated society make to run and repair the shared parts of the property. The amount and what it covers are set by the society, so they differ from one complex to the next. Always ask before you rent or buy.

What do maintenance charges cover?

• Security staff and the gate.
• Cleaning and upkeep of staircases, corridors and the compound.
• Lift operation and repairs.
• Electricity for common areas and water pumps.
• Gardening and the upkeep of shared facilities such as a gym, clubhouse or play area.
• Common insurance, repairs and the society's day-to-day expenses.

What are a sinking fund and a corpus fund?

A sinking fund is money set aside regularly for big future repairs, such as repainting the building or replacing a lift or a water tank. A corpus fund is usually a one-time payment made by a new buyer when joining, held as a reserve. Neither is a monthly running cost, and both are usually paid by the owner, not a tenant. Ask the society which funds exist and what each is used for.

Who pays: the owner or the tenant?

There is no universal rule. In many rentals the tenant pays the monthly maintenance on top of rent, while in others the owner pays it, or it is included in a single figure. Large one-off payments, like a sinking fund or a special repair levy, are usually the owner's. Settle this before you sign, and put it in the agreement. See rental agreement questions.

What should I ask before renting or buying?

1. How much is the maintenance, how is it calculated (per flat or by area), and how often is it paid?
2. Is it included in the rent, or paid separately?
3. What does it cover, and what are the extra charges (parking, club, water)?
4. Are there any unpaid dues on this flat? For a purchase, get a no-dues letter from the society.
5. Is the society registered, and is there a residents' association that holds regular meetings?
6. Are any big repairs or a levy planned?

Maintenance is part of the real monthly cost of a home, so include it when you compare. Use the rent affordability calculator or the rent vs buy calculator, then browse apartments for rent or apartments for sale. Our flat viewing checklist lists what to look at on the visit.