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Changing management is one of the decisions with the greatest impact on a building’s life. A good condominium company keeps the accounts up to date, prepares works in good time and responds when there is an emergency. A bad choice can mean years of poorly managed contributions and postponed works. The good news is that most mistakes can be avoided with simple questions asked before the general meeting. In this guide we bring together the eight most common mistakes and what to do to avoid each of them.
In short
- The price per unit can only be compared when the scope of services is the same.
- Ask for the civil liability insurance policy and references from current buildings.
- Confirm that the bank account is in the condominium’s name.
- Read the contract before voting: duration, extras and exit conditions.
- Ask how emergencies and communication with owners work.
What the law says about the choice
The choice belongs to the general meeting, which elects and dismisses the administrator (art. 1435(1) of the Civil Code). The role can be performed by an owner or by a company:
«4 – O cargo de administrador é remunerável e tanto pode ser desempenhado por um dos condóminos como por terceiro; o período de funções é, salvo disposição em contrário, de um ano, renovável.» — Civil Code, article 1435(4)
In plain English: the administrator’s role may be paid and can be performed by one of the owners or by a third party; unless otherwise provided, the term is one year, renewable.
In October 2026, there are still no specific rules for management companies. The bill providing for a licence, a written contract, civil liability insurance and training is still going through the legislative process, according to CNN Portugal. Until then, the condominium’s protection depends on the questions it asks.
| Mistake | The question that avoids it |
|---|---|
| 1. Choosing on price alone | What is included and what is charged separately? |
| 2. Believing perfect reviews | How does the company respond to criticism? |
| 3. Not asking for liability insurance | Which insurer, what capital and until when? |
| 4. Not asking for references | Which buildings does it manage and can I contact them? |
| 5. Ignoring how it works day to day | How are owners kept informed, and how often? |
| 6. Not checking awards and seals | Where can I verify the seal or award? |
| 7. Not asking about emergencies | Who answers a burst pipe out of hours? |
| 8. Not reading the contract | What is the duration, the notice period and what happens to the documents? |
1. Choosing on price alone
A proposal far below the others almost always has an explanation: fewer general meetings included, construction management charged separately, court debt collection billed as an extra or a manager with too many buildings. Compare proposals with the same scope and ask for the price list for extra services.
2. Believing perfect reviews
A company that manages many buildings will inevitably have some criticism. A page with none may mean little activity or unreliable reviews. More important than the rating is how the company responds to complaints. Be wary, too, of websites with generic texts and photographs: see the warning signs in our guide on AI in condominiums and how to protect your building.
3. Not asking for civil liability insurance
Civil liability insurance covers damage caused by management errors, such as building insurance that was not renewed or an improper payment. It is not mandatory today, but the regulation bill provides that it will be. Ask for the policy and confirm the insurer, the capital and the validity.
4. Not asking for references
Ask for the contact of one or two buildings the company has managed for more than a year, of a similar size to yours. Ask how general meetings go, whether the accounts arrive on time and how the latest breakdowns were resolved. Also ask whether the building’s manager has changed often: frequent turnover of managers is one of the clearest signs of poor follow-up.
5. Ignoring how it works day to day
Ask how owners are kept informed, how often they receive information, whether they can see minutes and accounts without booking a visit and whether general meetings can be in person, hybrid or online. Confirm that the bank account is in the condominium’s name. See our guide to transparency in condominium accounts.
6. Not checking awards and seals
Seals and awards can be useful, provided they come from independent bodies and can be confirmed on the awarding body’s website. Ask for the official link and check the year, category and region. An award from five years ago or from another region says little about the service your building will receive. And a seal does not replace the other questions: it is one signal to add to the references, the contract and the way the company answers at the clarification session.
7. Not asking about emergencies and suppliers
When a water riser bursts on a Saturday, who answers? How long does it take for a technician to arrive? Ask how the company chooses suppliers, whether it presents comparable quotes for works and how it follows up the work. Our guide to construction management in condominiums shows what to expect.
8. Not reading the contract
Ask for the draft contract before the general meeting. Look at the duration, automatic renewal, the notice period for leaving, extra services and what happens to the documents when the contract ends. A good company does not need clauses that tie the condominium in. Use the clarification session to clear up every doubt.
What if the choice goes wrong?
The administrator can be dismissed by the general meeting at any time and, in cases of irregularities or negligence, by the court at the request of any owner (art. 1435(1) and (3)). See what to do when you are unhappy with your administrator.
How Condoroo helps
Condoroo manages more than 600 condominiums, including buildings with more than 300 units, with a team of more than 20 professionals. We have €500,000 civil liability insurance and received the DECO seal for the third year running. We were distinguished in the Prémio Cinco Estrelas Regiões 2026, in the Lisbon district, in the Condominium Management category. The bank account is in the condominium’s name, and plans start at €6.50 per unit per month.
Choosing a condominium company: frequently asked questions
What is the most common mistake when choosing a condominium company?
Comparing only the price per unit, without checking what is included and what is charged separately.
Is civil liability insurance mandatory for companies?
In October 2026, not yet. The regulation bill being prepared provides that it will become mandatory.
Should I ask for references?
Yes. Ask for the contact of buildings the company has managed for more than a year, of a similar size.
Can the contract tie the condominium in?
It can, if it has long terms and exit penalties. Read the draft before the general meeting and negotiate the clauses.
Can I change company in the middle of the year?
The administrator can be dismissed by the general meeting (art. 1435(1) of the Civil Code). Respect the contract’s notice period to avoid costs.
How do I confirm a seal or award?
On the official website of the body that awards it, checking the year, category and region.
This article is for information only. Legislation and websites consulted on 26 October 2026.
