The level of own contribution varies by call, typically between 10 and 50 percent of total project cost. On a 30 million forint renovation a 30 percent contribution already means 9 million forints, which cannot be gathered in a few weeks after the decision.
The first planning step is assessing how much is available in the renovation fund at the expected submission date and how large the gap is. If there is a gap, the general meeting must decide in time how to close it: a one off special payment, a higher renovation fund contribution, or a supplementary loan.
A common mistake is starting to collect the contribution only once the call has been published. The short deadline then leaves no time for proper decision making and payment collection.
It is also important that some calls require proof of own funds, such as a bank certificate or loan commitment, already at submission, not only at implementation.
Merbo assesses the expected own contribution for every larger renovation plan in advance and proposes a renovation fund schedule so the building can react immediately to a published call.
One often forgotten aspect: build a small reserve into the plan for higher than expected construction costs, because the real price of a project frequently rises between planning and implementation.