Sinking Fund

A sinking fund is essentially money put aside for maintenance issues that will surface in the future or preparing for the rainy day! Owners will appreciate the need to create a sinking fund to deal with maintenance issues that will occur. Items such as lifts are expensive to replace and may need significant (costly) upgrades after 20 years use!

Furthermore it is important from a selling point of view that this fund is in place as it may put off potential buyers if it is not there. This fund should be provided for in the annual service charge.