Preserving strata property value in a time of uncertainty

July 26, 2022 | Insurance

Residential apartment owners are increasingly concerned with the impact of rising interest rates and inflationary pressures on the value of their properties. CoreLogic’s national Home Value Index has recorded a -2.8% decline in Sydney dwelling values for the quarter ending June 2022.

Alongside a weakening market, residential strata communities are cognisant of public perception. In recent years, media coverage of defective buildings and protracted disputes over who is responsible for paying the remediation work have tarnished the sector’s image.

Engaged by the NSW Government to benchmark consumer confidence, McCrindle’s May 2022 report found that the great challenge for prospective buyers is not knowing whether an apartment has defects. Alarmingly, 52% of survey respondents would not purchase an apartment because of this.

Managing risk and reputation

According to Rifhat Jangir, Head of Insurance Operations at Paynter Dixon, the priority is clear – strata communities should seek out service providers who act with integrity.

“Aligning with reputable service providers is a strategy for managing risk and reputation, especially when it comes to long-term property value,” says Rifhat.

With a century-spanning heritage, Paynter Dixon provides specialist insurance building services to strata communities where loss or damage to property has occurred.

“Insurance repairs are different to a normal renovation. Customer emotions can be vulnerable, especially after a destructive event.”

“Selecting a builder that is aligned to insurance repair work can reduce the stress for all involved.”

End-to-end empathy

Paynter Dixon is customer-centric and delivers a seamless experience.

“We strive to make the process as simple as possible by managing the loss from end-to-end. This ensures we meet the client’s expectations, providing clear communication and updates.

“Our depth of industry experience also means we are positioned to cover all aspects of insurance works from emergency make safes to total reinstatement works, including large and complex matters.”

Rifhat has spearheaded operational performance across the insurance landscape, including nine years within the strata community. Her work has focused on building high performance teams which embrace customer service and continuous improvement.

Paynter Dixon also has an industry-leading Remedial team which works closely with strata clients to restore and enhance their assets.

“Our combined expertise provides a one-stop shop for all remedial and insurance building needs. Competitive tendering allows us to select the most appropriate contractor for the repair job based on their costs and industry knowledge, including repair quality and claim lifecycle.”