Direct management of an apartment building: advantages and disadvantages

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Direct management of an apartment building is one of the forms of management defined by the housing code. In this case, residents of high-rise buildings independently conclude contracts with organizations for the supply of hot and cold water, sewerage, gas, electricity and heat supply. They are also responsible for the repair and general maintenance of the home.

Management of an apartment building

In accordance with the housing code, you can choose one of three possible options for running an "economy": direct management of an apartment building, delegation of authority to a management company or the board of an HOA or housing cooperative. We are interested in the first option, so we will dwell on it in more detail.

The direct way to manage an apartment building is the easiest. With this form, all utility billsare charged from each resident separately, and the interests of the house are defended by the chairman (through the court or by contacting the municipal organization of the HOA). Direct management of an apartment building assumes individual liability in relation to non-fulfillment of obligations to pay for utilities. All decisions regarding the maintenance and repair of the house are taken collectively at the general meeting.

Direct management of an apartment building: pros and cons

This form of government has its advantages and disadvantages. The advantages include a reduction in the cost of maintaining the apparatus of the HOA and the management company. But at the same time, there is one big drawback - the lack of initiative and qualified residents of apartment buildings. To manage common house property, there is no need to create an HOA. Nevertheless, in some cases, a direct way of managing the house is practiced in the presence of the aforementioned partnership. In this state of affairs, the interests of residents in court are defended by the structure of the HOA. The current issues of payment for services, repair and maintenance of the house are handled by the chairman.

Features of direct home control

The considered form of management is preferable when the residents of the house are practically unfamiliar with each other, have little solvency and do not trust third-party organizations. That is, they choose the direct management of an apartment building in order to reduce the cost of maintaining a dwelling. But this form still requiresregistering a legal entity and opening an appropriate account, which will accumulate funds for large one-time general house expenses, major repairs, and so on.

If the tenants do not solve the maintenance of their home on their own, the city administration decides to appoint one or another organization to manage it. That is, the direct management of an apartment building is purely nominal. Basically, the lack of competition in the choice of a company for housekeeping leads to the fact that she, removing the payment for the maintenance of housing, ignores her obligations. And as a result, such houses require repairs both inside and out.

Direct management is the option that is best used during the transition and the creation of an HOA. It is preferable, having chosen such a form, not to be limited only to the privatization of apartments, but to privatize the house as a whole. You should also grow your own staff for home management and look for qualified suppliers for the repair and maintenance of the building.