Housing company board member: role, induction and handover

Board work easily ends up resting on one person, and when they leave, everything they knew about the building leaves with them. A new member can change this within their first month by understanding their own role and making sure that knowledge is kept when the board’s membership changes.

When a member’s term begins

The board is usually elected at the annual general meeting, and under the main rule of the law a member’s term ends at the close of the next annual general meeting (chapter 7, section 11 of the Limited Liability Housing Companies Act (opens in a new tab), in Finnish). A new member therefore starts straight after the meeting, often in the middle of ongoing projects. The articles of association may provide otherwise on the term of office, so it is worth checking.

The board decides together

The chair is often the most visible person on the board, but in law the board is a body that makes decisions jointly. The board has a quorum when more than half of its members are present, and the decision is the view of the majority. The chair has the casting vote only in the event of a tie. The chair cannot alone make decisions that belong to the board.

The duty of care applies to every member in the same way. If you disagree, you have the right to have your dissenting opinion recorded in the minutes. Your task is to promote the interests of the whole company, not those of your own staircase or apartment. The law does not require any training in construction or finance. What matters is getting to grips with the issues and obtaining an expert assessment where necessary. The law and personal liability are covered in more detail in the article the responsibilities of a board member.

Your first month: a checklist

The aim is not to learn everything at once but to form an overall picture: what condition the building is in, what repairs are coming up and how decision-making works in the company.

Basic information

Find out the year of construction, the number of buildings and apartments, any commercial premises, whether the plot is owned or leased, the heating system and any major renovations carried out. These tell you what stage of its life cycle the building is at.

Articles of association

The articles of association show the composition of the board, its term of office and any provisions that depart from the law, for example on maintenance responsibility. Note that following the amendment to the law that came into force on 1 October 2026, the company is responsible for windows as a whole unless the articles of association provide otherwise. Read more about the change in responsibility for windows.

Maintenance needs report

At the annual general meeting, the board must present a written report on maintenance needs for the next five years (chapter 6, section 3). It is not a binding repair programme, but it quickly shows you what the company considers significant. See the maintenance needs report.

Minutes

Read at least the past year’s board and general meeting minutes. They show the ongoing projects, unfinished business and recurring problems.

Finances

You do not need to become an accounting expert. But do look in the budget and financial statements at the income from charges, the largest items of expenditure, loans, any funds and planned investments.

Condition surveys and repair history

Old condition assessments and condition surveys, documents for major repairs and observations from previous walk-throughs tell you what has been done to the building and what has been left undone.

Your own walk-through of the building

Walk round the building as soon as possible, preferably with a more experienced member or the property manager. Look at the roof and how rainwater is directed, the facade, the yard, technical rooms, storage areas and emergency access routes. Many members sit through meetings for months without once visiting the technical rooms. You will find tips in the article the building walk-through.

Ask questions, even if you are new

A new member often notices things the others have got used to. A few questions almost always work:

• What is this estimate based on?
• Have alternatives been compared?
• What happens if we do nothing?
• How will this decision look in five or ten years’ time?
• Can we justify this decision to the shareholders?

If the information is not sufficient for a decision, the board can ask for further investigation. It is perfectly acceptable to say that you do not yet understand a matter well enough to decide. Experienced members are worth listening to, but a new member is also responsible for the decisions they take part in.

Read the meeting papers in advance so that the meeting time can be spent on discussion. Your own notes on the building’s risks, upcoming projects and open questions will help you get up to speed faster.

When the board changes: keep the knowledge

A long-serving chair knows a lot by heart: when the roof was replaced, which corner has had damp, and why a particular repair was not done three years ago. When they step down, that knowledge goes with them. The minutes remain, but they record what was decided, not why, or what condition the structures were in at the time.

The statutory maintenance needs report and the report on significant maintenance and alteration work carried out provide a good framework. For practical work, it is also worth recording:

• the condition of the structures: facade, roof, basement and wet rooms
• the state of the technical systems: heating, ventilation, water and drainage pipes, electricity
• repairs carried out: what was done, when, by whom and with what materials
• identified risks and recommended follow-up actions
• photos of the situation at the time of inspection.

When the information is in one place, for example in the maintenance log (huoltokirja), a new board does not have to start from scratch. An organised archive also helps when the property manager changes, when applying for a loan and when apartments are sold. In addition, from 1 October 2026 a shareholder has the right to receive promptly a copy of any document held by the company that concerns their apartment. Such requests are easier to meet when the documents can be found.

If the board has just changed, gathering information on the building’s condition is a good first joint task. For the apartments, a good starting point is, for example, an apartment round report in which the observations from all apartments have been recorded in the same way.

Frequently asked questions

Does the chair have more responsibility than the other members?

The chair has some specific duties, such as ensuring that the board meets, and has the casting vote in a tie. Liability for damages and the duty of care are the same as for the other members. Read more: the chair of a housing company board.

Which documents should I look at first?

The articles of association, the maintenance needs report, the latest minutes, the financial statements, the budget and any condition surveys.

Does a member need to know about building technology?

No. It is enough to get to grips with the issues, use experts when needed and make decisions on the basis of sufficient information. The board’s duties as a whole are covered in the article the duties of a housing company board.

This article provides general information and does not replace case-specific legal or technical advice.