Top 5 Signs Your Strata Manager Is Costing You Money
Not all strata managers are created equal — and unfortunately, a bad one can quietly cost your building thousands every year. From overpriced contracts to missed savings opportunities, here are the top five signs that your current manager might be draining your budget instead of protecting it.
1. You’re Locked into Overpriced Contracts
If your strata manager isn’t regularly reviewing and renegotiating service contracts (cleaning, gardening, lifts, etc.), your scheme could be overpaying by thousands. Some managers even lock in preferred contractors without getting competitive quotes — and you foot the bill.
🔎 Red flag: Your scheme hasn’t compared quotes or changed contractors in 2+ years.
2. No Transparency on Fees or Charges
Does your manager charge extra for things like attending meetings, printing agendas, or responding to emails? These “add-ons” can add up fast, especially in larger buildings. Worse still, they’re sometimes buried deep in the fine print.
🔎 Red flag: You get hit with unexpected charges each quarter.
3. Poor Maintenance = Higher Long-Term Costs
Neglected common areas and delayed repairs aren’t just an eyesore — they can lead to bigger problems (and costs) down the track. A good manager should be proactive, not reactive.
🔎 Red flag: You’ve had multiple “urgent” repairs that could’ve been prevented with basic upkeep.
4. Missed Opportunities for Bulk Savings
Strata managers should leverage their portfolio to secure better rates on insurance, electricity, fire compliance, and more. If yours isn’t actively negotiating on behalf of your scheme, you’re likely missing out.
🔎 Red flag: Your manager hasn’t suggested any cost-saving strategies or bundling options.
5. No Strategic Planning
If your manager isn’t helping the committee prepare for future capital works or guiding you through levy forecasting, you could face sudden special levies, legal non-compliance, or reactive spending that damages owner trust.
🔎 Red flag: There’s no clear capital works roadmap or discussion of long-term planning at AGMs.