New Zealand | Fees and Levies
Body Corporate Fees: Levies, Funds and Late Payment
Every owner in a New Zealand unit title development pays levies, also called body corporate fees, to the body corporate. The body corporate sets the amount and the due dates, and each owner's share follows the unit's utility interest. Unpaid levies go to the Tenancy Tribunal.
The short answer
- The body corporate decides the levies and when they are due. Each owner's share is based on the unit's utility interest.
- Levies fund an operating account, which is required, and a long-term maintenance fund, which is required unless the body corporate opts out by special resolution.
- Some owners can be charged more for damage they caused, work that benefits them more, or metered services such as an EV charger.
- The body corporate may charge interest on unpaid amounts. Unpaid levies are recovered through the Tenancy Tribunal.
- Neither MBIE's pages nor its guides publish an average levy. The amount depends on each body corporate's budget and plan.
What body corporate fees pay for
The operating account pays for running the property, services and amenities, compliance costs, ground rent or licence fees, and maintenance done at least once a year, such as pool cleaning. The long-term maintenance fund pays only for items in the long-term maintenance plan. A body corporate can also hold a contingency fund for unexpected costs and a capital improvement fund for upgrades.
How your share is worked out
Your share is "based on your 'utility interest'". By default it equals the unit's ownership interest. MBIE's example: one of 10 identical units has a 10% utility interest and pays 10% of the fees. If there are unexpected costs and not enough money, MBIE's Short Guide says owners are levied "in proportion with their ownership interests".
Since the 2022 amendments a unit can have several utility interests for different services, some applying to some units only, such as a private courtyard. The body corporate can reassess utility interests by special resolution.
The long-term maintenance fund
- Required unless the body corporate decides by special resolution not to have one. An opt-out must be reviewed every year, and a fund can be set up later by another special resolution.
- It can be spent only on items in the long-term maintenance plan.
- The body corporate decides how much it holds; MBIE says it "does not need to fully cover the costs anticipated in the LTM plan".
- The plan covers at least 10 years for developments under 10 units and 30 years for larger ones, and must state its sources of funding.
Extra charges to one owner
- Work caused by the owner's or their tenant's damage or negligence.
- Work that benefits one owner more than others.
- Work on building elements or infrastructure inside the owner's unit.
- Metered services the body corporate installs for a unit, such as electricity for an electric vehicle charger.
Unpaid levies
The body corporate "may charge you interest on any unpaid amounts". MBIE's pages do not give a rate. An owner with unpaid levies cannot vote, and cannot stand for chair or committee.
To recover levies, the body corporate files a "levies application" with the Tenancy Tribunal. Mediation is not used for unpaid levies. The application attaches the minutes recording the levy resolution, the resolution confirming the amount, the demand for payment, the unit's record of title and invoices for recovery costs. From 1 July 2026 a hearing application costs $512.
When a unit is sold, the pre-settlement disclosure statement shows levies paid, any unpaid levies and whether legal action has started, unpaid metered charges and the interest rate on money the seller owes.
Read from MBIE's Unit Title Services pages, guides and forms (the dates are in the sources below). The government's legislation site could not be opened when we checked on 31 October 2026, so the section numbers here are the ones MBIE names.
Common questions
What are body corporate fees? +
The levies each owner in a unit title development pays to the body corporate. They fund the operating account and, unless the body corporate opts out, the long-term maintenance fund.
How are body corporate fees calculated in New Zealand? +
The body corporate sets the total and the due dates. Each owner's share is based on the unit's utility interest, which by default equals its ownership interest.
How much are body corporate fees in New Zealand? +
MBIE's pages and guides publish no average. Each body corporate sets its own levies from its budget and maintenance plan. A buyer sees the current year's levies for the unit in the pre-contract disclosure statement.
Is a long-term maintenance fund compulsory? +
It is required unless the body corporate decides by special resolution not to have one, and it must review that decision every year.
Can the body corporate charge one owner more? +
Yes, for damage or negligence by the owner or their tenant, for work that benefits that owner more than others, for work on building elements inside their unit, and for metered services such as an EV charger.
Can a body corporate charge interest on late levies? +
Yes. MBIE's Short Guide says the body corporate "may charge you interest on any unpaid amounts". The pre-settlement disclosure statement must show the rate on money a seller owes.
What happens if I do not pay body corporate levies? +
You cannot vote while levies are owing, interest may be charged, and the body corporate can apply to the Tenancy Tribunal to recover the debt with a levies application.
Who decides the body corporate budget? +
The body corporate. MBIE's Short Guide says the budget for the coming year "is usually established at the AGM".
Can utility interests be changed? +
Yes. Since the 2022 amendments the body corporate can reassess utility interests by special resolution, and a unit can have several utility interests for different services.
What do buyers learn about levies? +
The pre-contract statement shows the current year's levies and fund balances; the pre-settlement statement shows levies paid, any unpaid levies and the next due date.
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