Introduction: Prices on tenant owned apartments have been risingdramatically for the past 20 years. The price development of tenant ownedapartments during the period can be compared and matched with thedevelopment of the stock exchange during the same period. Even though theincrease in housing prices goes hand in hand with the stock market, therequirements for listed companies' annual reports are stricter. The purchaseof a home can be one of the biggest purchases a consumer makes during hislifetime, perhaps not only sentimentally but also in monetary terms. Whenbuying an accommodation, the prospective apartment owner becomes partof the tenant owners’ association and ends up in a financial community withthe other members of the association. The economic community poses risksto the private economy. Approximately 30 tenant owners’ associations inSweden go bankrupt every year, which means that the annual report of anassociation should be seen as an important factor in the home buyingprocess, as the annual report shows the association's current financial status.In turn, the annual report has to reproduce relevant information for tenantowner speculators so that an adequate analysis can be made of theassociation's current financial position and how it may develop. Purpose: The purpose of the study is to investigate what can be deducedfrom tenant-owner associations' annual reports regarding the association'sfuture financial obligations and how this affects the assessment of the risk offuture increases in the fee. Method: This study has been conducted through a qualitative documentanalysis. Existing theories have been applied to read out future financialobligations from associations’ annual reports and compare it with what theassociations themselves state about their future financial commitments. Wehave applied a deductive research approach, which differs from currentpractice for qualitative research methods. Conclusion: The study indicates that there are regular shortcomings intenant owner associations' annual reports when it comes to making ananalysis about associations' future financial obligations. The study showsthat information in annual reports according to current regulations gives thereader an opportunity to create a basic picture of the association's financialposition. To enable better analyzes of future financial commitments, moreinformation needs to be provided. Comments regarding plannedmaintenance, the association's loan and any ground rent are somesuggestions for additional information that improves the conditions forassessing future needs for fee increases. This in combination withrequirements for standardized key figures would provide an even betterinsight into the association's finances.
| Identifer | oai:union.ndltd.org:UPSALLA1/oai:DiVA.org:hh-47314 |
| Date | January 2022 |
| Creators | Åström, Andreas, Pejic, Boris |
| Publisher | Högskolan i Halmstad, Akademin för företagande, innovation och hållbarhet |
| Source Sets | DiVA Archive at Upsalla University |
| Language | Swedish |
| Detected Language | English |
| Type | Student thesis, info:eu-repo/semantics/bachelorThesis, text |
| Format | application/pdf |
| Rights | info:eu-repo/semantics/openAccess |
Page generated in 0.0023 seconds