Surplus, Deficits, And Loans

This blog post discusses the financial structure of condominiums and how surpluses, deficits, and loans can impact their operations. The author explains that a surplus occurs when a condominium corporation has more funds than are needed to cover its expenses, while a deficit occurs when there are insufficient funds to cover expenses. The blog then discusses how loans can be used to address deficits, and the pros and cons of taking out loans. The author notes that while loans can be helpful in the short term, they can also create long-term financial burdens if not used wisely. The blog also discusses the importance of budgeting and financial planning to prevent deficits and surpluses. The author concludes by emphasizing the need for transparency and communication between the condominium corporation and unit owners regarding financial matters.