A rental pool is a risk management tool which allows an owner to share the risk of vacancies and repairs with other owners in that pool. Regardless if your unit is vacant, rented or damaged, you get a share of the monthly profit. If any unit in the rental pool is damaged, the cost of repair is shared across the rental pool.
There are several benefits to being a part of a rental pool. Firstly, the management costs are usually 1% - 4% cheaper than single unit management. Single unit management fees are usually 10% of collected rent. Since all units of the rental pool are generally in the same location, there is a shared set of accounting records which make it easier for us to manage, and that savings is passed on to you.
Other benefits include the sharing of banking fees, administration charges, and the advertising of your property for rent.
There are monthly fixed costs that the rental pool pays. These include condo fees ( the rental pool pays these on behalf of the owner ), resident manager pay (if applicable), and the management fees. There are variable costs as well, which would include unit repairs, painting, appliance repair or replacement. The rental pool pays the utilities for any vacant units to ensure no damage occurs during the winter months. The rental pool does not pay the mortgage, property taxes, or insurance premiums.
Financials are prepared annually by an external auditing firm and copies are sent to you for tax purposes.To join an existing rental pool your unit must meet our standards for both upgrades and maintenance. Then once we have inspected your unit and it is approved, you will need to sign a rental pool agreement. Lastly your unit will officially join the rental pool once we rent it for the first time. Please note that you are responsible for your condominium fees and any utilities until your unit is rented.
For more information please contact Peter at 403-250-7999, extension 227 or email at .
Looking for Documents? Use Condopapers.com. All condo documents are available.
Suite 204
4712 - 13 Street NE
Calgary, Alberta T2E 6P1
Phone: 403-250-7999
Fax: 403-250-7991
Toll-free: 1-877-250-7999
