What do Condo Association Fees Cover?

When you buy a condo you have to pay monthly association fees (also called assessments). The dollar amount of the fee is different for every condominium, but the low end is in the $150 ballpark and is based on the yearly expenses of your particular property and what amenities your condominium building has. The fees are generally managed by the condo association, who collects the money and allocates funds. Typically, association funds are used for general upkeep of the building, grounds and common areas.

For example, some condo buildings have fitness centers, pools, gardens, party rooms, etc. If you live in condominium with more communal facilities, your monthly association fees will be higher to cover the cost of running the place. The fees also include services such as snow removal, lawn mowing, and cleaning of common areas. The condo association may also put a small part of the regular fees into a reserve fund that can be used for building repairs, roof replacement and other out-of-the-blue maintenance. By building up the reserve over time, condo residents can avoid having to pay special assessments (additional fees) when unanticipated issues and expenses arise.