All You Need To Know About Apartment Maintenance Fees
More people are interested in moving to apartments with benefits in mind. But, do you know how to calculate your apartment maintenance fee?
Are you considering moving to an apartment? With the benefits that come with buying an apartment, it is important to understand the pros and cons before making your decision. If you prefer more conveniences of living, an apartment is the one that you are looking for as they provide many services and features, like gyms, pools, and 24-hour security.
While it is now common that more people are thinking of living in apartments instead of a house, there are a few things that must be taken into consideration, like the monthly expenses or apartment maintenance costs.
What Is an Apartment Maintenance Fee?
Apartment buildings are professionally managed and taken care of by management that operates all facilities in the apartment, such as elevators, landscape, waterways, and other public facilities. Apart from the variety of apartment types, there are some basic facilities that are definitely subject to a monthly apartment fee that residents are obliged to pay that is called IPL (Iuran Pengelolaan Lingkungan).
Legal Basis of an Apartment Maintenance Fee
Apartment Maintenance Fee is not collected arbitrarily, there are legal regulations that control the Apartment maintenance for IPL.
The legal basis for apartment maintenance fee or IPL is stated in UU No. 20 Tahun 2011 concerning Flats and Government Regulation No. 4 Tahun 1988 concerning Flats. Which stated that the financing for the management of property, shared and joint land is borne by the owner or occupant.
The amount of apartment maintenance fee that must be paid is stated in the Sale and Purchase Agreement or Pengikatan Perjanjian Jual Beli (PPJB).
How Much Does Apartment Maintenance Fee Cost?
The amount of IPL fee is determined by the management or the developer which is multiplied by the area of the apartment per square meter.
The calculation of an apartment maintenance fee is: The basic IPL fee multiplied by the area of each apartment unit.
The amount of the basic IPL fee for the apartment itself is determined based on the agreement between the management of the Apartment and Owners and Occupants Association (Pemilik dan Penghuni Satuan Rumah Susun) and the residents or apartment owners. So there can be a cost difference for each apartment for each square meter, ranging from IDR 10.000,00 to IDR 80.000,00. But again, the cost can go even higher.
However, each apartment offers different facilities. The fees charged for middle-class apartment residents are clearly far different from the fees charged for upper-class apartment residents, much like the cost of an apartment maintenance fee that varies depending on its type of unit. So the bigger the unit, the bigger the fee that you have to pay.
Apartment Maintenance Fee Calculation
Let’s take an example of a simple 36 square meter apartment unit. With base IPL for the apartment listed is IDR 20,000.00 per square meter. So to calculate the IPL apartment maintenance fee is:
IPL expense for apartment = IPL for Apartment x Area of the apartment unit
IPL expense for apartment = IDR 20,000.00 x 36 = IDR 720,000.00
So for a 36 square meter apartment unit, you will be subject to an IPL fee of IDR 720.000,00 per month.
Something to be fully taken note of is there can be a possibility that an IPL fee can increase. However, residents have the right to question the details of the increased fee, including the calculation of costs and management of the apartment that they live in.
With the knowledge of an apartment maintenance fee or IPL, you can put it as one of your considerations to decide whether or not living in an apartment is the ideal choice for you.