The budget process and determining your condo fee

I often hear buyers proclaim that a condo fee is “too high” yet these same buyers seem not to know exactly what determines a condo fee. It is impossible to assess if the fee is “too high” without knowing the history of any “special assessments.” A community that defers maintenance and keeps the fee artificially low will eventually have a large special assessment.  The condominium budget is planned annually to cover both operational expenses and payment to a reserve fund for future capital projects.  Think of the condo fee as going into a nonprofit organization. Should there ever be too much money in reserve, the trustees may elect to reduce the condo fee or return some of it to the unit owners. Healthy reserves are good for both unit owners as well as the condominium overall.    Read the article…………..

Related Articles

Make a Good Impression: Signage in Your Homeowners Association

You’ve heard the phrase, “don’t judge a book by its cover.” But sometimes, it’s important to not underestimate the power

Proposed Legislation Requires Mandatory Service on the Board

Just kidding. Playing through the scenario, though, what if being “elected” to the board was like being called for jury

The Importance of Hiring Licensed Contractors for Your Homeowners Association

One of the stated goals of a homeowners association is to oversee the upkeep of common areas in the community,