A proxy in an owners corporation. When owning an apartment or townhouse, you may have experienced what an owners corporation does and why it’s needed. In this market insight we would like to help you understand what a proxy is and when/why they may be needed.
An owners corporation is required to operate an annual general meeting (AGM) where property owners take the opportunity to discuss and vote on financial decisions. Topics may be related to ensuring the property is kept clean and tidy while other areas may be reviewing the insurance cover of the building. Each topic is very important but requires an AGM to implement these important discussions. In many circumstances, not everyone can make themselves available to attend the AGM. Some property owners may be foreign investors, some maybe committed to work while others may have medical conditions restricting them to physically be there. Appointing a proxy is an effective way to ensure you have input.
Who can be a proxy?
A proxy has the entitlement to act on the following:
A proxy can do many things on your behalf:
- Represent you on the Owners Corporation committee
- Nominate an election on your behalf.
- Discuss areas of concern such as ongoing costs or the tidiness of a communal area
- Vote on proposed changes or motions
However a proxy cannot appoint another person to be a proxy. Only the landlord or home owner can appoint or change it.
How do I nominate a proxy?
Selecting a proxy is through completing and signing a form. These can be collected from your owners corporation. It cannot be implemented verbally.
Are you wanting to buy a property?
When looking to buy a property, regardless if its to occupy or invest, you should pay attention to the owners corporation and there potential roles. If you’d like to purchase a brand new or off the plan property, please feel free to contact us. We specialise in souring property for buyers and welcome the opportunity to help.
While we have taken care to ensure the information above is true and correct at the time of publication, changes in circumstances and legislation after the displayed date may impact the accuracy of this article. If you want to learn more please contact us. We welcome the opportunity to assist you.
February 2021
