There is no general statutory scale setting the fees of a co-ownership syndic. The price therefore depends on the mandate offered, on the building and on the services included. The law does, however, frame several points that are useful when comparing an offer: the remuneration is decided by the meeting, the association's funds have to be paid into an account opened in the name of the association, and certain agreements with businesses connected to the syndic require a special authorisation.
Why can two co-ownerships of the same size pay different amounts?
The number of units tells only part of the story.
A building with no communal plant, few suppliers and simple accounts does not call for the same management as one with communal heating, several technical contracts, arrears or a works programme.
Comparing fees therefore starts with comparing the work actually being asked for.
Who decides the syndic's remuneration?
The terms of the syndic's remuneration and the particular arrangements of its mandate are set by the general meeting, by a majority of the votes of the co-owners present or represented. (RGD du 13 juin 1975, art. 19 ; loi du 16 mai 1975, art. 15)
That is a useful distinction: appointing the syndic and setting its remuneration do not fall under the same majority.
What should you look at in a proposal?
First, what is included in day-to-day management: accounts, meetings, monitoring of contracts, calls for funds, handling of requests, visits, incidents and technical follow-up.
Then, what is billed separately.
A low annual price may well be worth having. But it is only comparable with another price if both proposals genuinely cover the same scope.
Why must the syndic's links with certain contractors be transparent?
The grand-ducal regulation requires a special authorisation from the meeting where an agreement is concluded between the association and the syndic, certain people close to it, or a business in which those people hold interests or perform certain functions. (RGD du 13 juin 1975, art. 29)
This rule does not mean that such an agreement is prohibited. It means that it must not go unnoticed.
Where must the co-ownership's funds go?
Any sum received on behalf of the association has to be paid without delay into an account opened in the name of the association. (RGD du 13 juin 1975, art. 28)
For a co-owner comparing two proposals, this point is more concrete than a slogan about transparency.
And if a co-owner performs the role themselves?
The cost of a co-owner acting as syndic is dealt with separately in the existing article “Co-owner syndic: how much does managing a small co-ownership really cost?”.
The level of remuneration at which that activity becomes professional, with the tax and VAT consequences attached to it, is governed by rules outside co-ownership law.
How do you compare sensibly?
By asking a very simple question: what does the building actually receive in return for the price voted?
The contract, the organisation, the additional services, the association's bank account and the handling of any conflicts of interest give a more serious answer than a price divided mechanically by the number of units.