What is a maintenance corpus?
A maintenance corpus is a one-time deposit a builder collects from each buyer, usually at possession, to fund major repairs and replacements in the building. It belongs to the buyers and is handed to their association.
Also called corpus fund, sinking fund deposit, maintenance deposit.
The corpus is different from monthly maintenance. Monthly charges pay for running costs such as security, cleaning, power for common areas and lift contracts. The corpus is a reserve for large, occasional costs: lift replacement, waterproofing, painting the building, replacing pumps.
How builders usually handle it:
- How much: set per square foot or as a fixed sum per flat, stated in the agreement for sale.
- When: collected with the final demand or at possession, often alongside advance maintenance for the first year or two.
- Where it is kept: in a separate bank account or deposit, not mixed with the builder’s own money, because it is held for the buyers.
- Handover: transferred, with interest earned and a statement of account, to the society or association once it takes over maintenance.
Disputes over the corpus usually come from three things: no separate account, no statement of interest earned, and delay in handing it over. Keep a per-flat record of what was collected and when, and agree the tax treatment with your CA before you collect the first rupee.