› Flat Chat Strata Forum › Levies and Unit Entitlements › Does your sinking fund cost you money › Current Page
@Kangaroo said:
Contendo ergo sum.The overall amount of savings is far less important than who pays.
If you move into a new building with new carpet in the foyer and the carpet is expected to last 15 years, the rightful contributors to the cost of the eventual new carpet are those who walk on it during those 15 years.
Not the Owners who happen to be in residence at the 15-year mark, nor their heirs and successors.
The user-pays argument has a strong moral basis and I was thinking as I was writing the piece, that would be my objection too. However, looking purely at the maths, I think the loans stacks up. It certainly makes sense when you have a building that needs work imminently and there’s nothing in the biscuit tin.
Ain’t that what’s wrong with the economy?
I thought what was wrong with the economy was that we were terrified of debt when every country in the world – and every business too – works on debt when it needs to, rather than hiding its money under the bed.