Question 1

Condominium: What does "Value Quota" mean?

Accepted Answer

The value quota indicates the proportion of each residential unit to the total value of the building. In other words, the value quota informs about the ownership percentage of each owner in the entire property. The advantage of a high value quota is that one's own vote carries more weight in certain decisions at the condominium owners' meeting compared to a lower value quota. However, the same applies to the costs distributed among the entire condominium owners' association. The higher the value quota, the greater the share of costs one has to bear.

There are no legal regulations for calculating the value quota. It is typically determined based on the size of the "Sonderrecht" and the "gemeinschaftlichen Benutzungsrecht" right. Additional criteria that can influence the value quota include the floor level, the orientation, or other factors such as noise emissions.

Further information, along with a calculation example, can be found in the linked video below.

(Video in German)

https://youtu.be/Gm8JFHV6Fns

Question 2

Condominium Ownership: What does "Sonderrecht" mean?

Accepted Answer

"Sonderrecht" (Special Rights) in condominium ownership refers to the exclusive right to use, develop, and manage specific parts of a building. These parts must be self-contained and have their own access to qualify as "Sonderrecht". The typical example is an apartment. However, separate adjacent spaces, such as those located in the basement, can also be categorized under "Sonderrecht".

Owners generally have the freedom to do as they wish with their property under "Sonderrecht". However, certain limitations apply. The land on which the property stands, building rights, or parts of the building that impact the rights of other individuals are not considered under "Sonderrecht". Therefore, it is not permissible to demolish parts of the building that affect other special right parts. Examples include load-bearing walls or alterations that significantly alter the external appearance of the property.

You can find further information on general condominium terminology in the linked video below.

(Video in German)

https://youtu.be/NgOlRyNzR7I

Question 3

Condominium Ownership: What does "exclusive right of use" mean?

Accepted Answer

The exclusive right of use ("ausschliessliches Nutzungsrecht") pertains to portions of the building that technically belong to the common areas but whose usage is limited by a resolution of the condominium owner community. Such resolutions are typically documented in the community's regulations. The right of use can be specifically allocated to one or more owners. Others may only utilize these areas with the permission of the respective owners. Examples include parking spaces, balconies, roof terraces, or designated seating areas.

You can find more information about general condominium terminology in the linked video below.

(Video in German)

https://youtu.be/NgOlRyNzR7I

Question 4

Condominium Ownership: What does "Common Area" mean?

Accepted Answer

The common areas of a building refer to those parts that are equally accessible to all condominium owners. This includes, for example, the staircase, elevators, the heating system, or even non-individually segregated cellar compartments. Parts that influence the appearance of the building are also considered part of the common areas. These may include windows, the facade, as well as shutters and railings. Furthermore, essential building components such as the foundation, load-bearing walls and ceilings, or even the roof are also part of the common areas. Any modifications or changes to these parts require the approval of the condominium owners' association.

You can find more information about general condominium terminology in the linked video below.

(Video in German)

https://youtu.be/NgOlRyNzR7I

Question 5

Condominium Owners' Meeting: When does it take place?

Accepted Answer

The ordinary condominium owners' meeting must take place at least once a year. The date of the meeting is determined by the annual accounts, as one of the most important tasks of the meeting is to approve the annual accounts. There are no legal restrictions on the maximum number of meetings. Therefore, several meetings can be convened in a year.

Detailed information about the organization, convening, and tasks of the condominium owners' meeting can be found in the linked video below.

(Video in German)

https://youtu.be/_mDL8PCPbEs

Question 6

Condominium owners' meeting: who participates?

Accepted Answer

Every member of a condominium community is automatically entitled to attend community meetings. Regardless of whether they reside in the property, every condominium owner is part of the community and thus has the right to receive invitations to meetings. However, owners have the option to delegate their vote to another member or be represented by a third party at the meeting.

If the property is managed by a real estate management agency, they typically participate in meetings, often in an organizational and chairing capacity. External participants may also be invited if their expertise is required for the topics under discussion. This could include technical experts, auditors, or construction companies.

For detailed information on the organization, convening, and tasks of condominium owners' meetings, please refer to the linked video below.

(Video in German)

https://youtu.be/_mDL8PCPbEs

Question 7

Condominium owners' meeting: who can convene it?

Accepted Answer

In addition to the prescribed legal provisions for convening the meeting, condominium owners' communities can also determine further provisions in their regulations. The real-estate management agency convenes the meeting. If no agency has been tasked and no specific provision has been stipulated in the regulations, then each owner has the authority to convene a meeting independently. According to the law, a meeting can be called at any time if one fifth of the owners request it. This applies to both the regular assembly, which must occur at least once a year, and to extraordinary assemblies.

Comprehensive details regarding the organization, scheduling, and responsibilities of the condominium owners' meeting are available in the linked video below.

(Video in German)

https://youtu.be/_mDL8PCPbEs

Question 8

Condominium owners' meeting: What are the requirements for conducting it?

Accepted Answer

The condominium owners' meeting can generally be held under three conditions:

1. Timely invitation: All condominium owners must have been invited to the meeting in advance. While this is not directly specified by law, in practice, it is typically assumed to be within a timeframe of 10-20 days. The exact deadlines are usually stipulated in the community's regulations.
2. Proper Agenda Setting: Votes at the meeting may only be conducted and decisions made if they have been "properly announced." This means that the items must be communicated in advance in an agenda. Spontaneous decision-making is not permitted unless expressly allowed by the regulations.
3. Quorus: The meeting must have a quorum.

Detailed information about the organisation, convening and tasks of the condominium owners' meeting can be found in the video linked below.

(Video in German)

https://youtu.be/_mDL8PCPbEs

Question 9

Condominium Owners' Meeting: When is it considered quorate?

Accepted Answer

Quorum refers to the conditions that must be met for the condominium owners' meeting to conduct voting and make decisions.

In order to be considered quorate, three requirements must be met:

1. At least half of all owners must be present. If the number of owners is odd, then the majority must be present.
2. Simultaneously, the present owners must collectively hold at least half of the total entitlement (Value Quota).
3. In any case, there must be at least two owners present.

You can find detailed information on the resolution process and voting rights in the linked video below.

(Video in German)

https://youtu.be/SU8MZYVPC5I

Question 10

Condominium Owners' Meeting: What does "unanimity" mean?

Accepted Answer

In condominium owners' meetings, various majorities are required for approval depending on the agenda item. Resolutions are passed unanimously when all eligible voters are present and vote in favor. If even one person votes against, unanimity is not achieved. Due to the difficulty of achieving unanimity, it's typically reserved for particularly significant decisions, such as changing the property's purpose or dissolving the condominium itself.

You can find detailed information on decision-making in condominium ownership in the linked video below.

(Video in German)

https://youtu.be/SU8MZYVPC5I

Question 11

Condominium Owners' Meeting: What does "simple majority" mean?

Accepted Answer

During condominium owners' meetings, different majorities are required for approval depending on the agenda item. Resolutions are adopted with a simple majority when the majority of all attending condominium owners vote in favor. Only head votes are counted, with typically one head vote assigned to each residential unit. For instance, married couples who jointly own only one apartment receive only one head vote. If a person owns two apartments, they receive two head votes. Absent owners are not taken into account.

In practice, approval of the minutes, the annual financial statements, or the budget is usually decided by a simple majority.

Detailed information on decision-making in condominium ownership can be found in the linked video below.

(Video in German)

https://youtu.be/SU8MZYVPC5I

Question 12

Condominium Owners' Meeting: What does "Qualified Majority" mean?

Accepted Answer

In condominium owners' meetings, various majorities are required for approval depending on the agenda item. Resolutions are passed with a qualified majority if the majority of all condominium owners present vote in favor and they also hold the majority of shares in the property. Both head votes and value quotas are considered, taking into account the value quotas of all owners, not just those present. To avoid misunderstandings, it's advisable to specify in the regulations whether all owners should also be considered in the head votes, deviating from the simple majority rule.

In practice, the amendment or adoption of the minutes or the resolution on beneficial construction measures is typically decided by a simple majority.

You can find detailed information on decision-making in condominium ownership in the video linked below.

https://youtu.be/SU8MZYVPC5I

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