What to expect in the way of condominium fees?
Question: I am thinking about buying a condominium in Wildernest but I am uncertain about paying homeowners association dues. What can I expect in the way of condominium fees?
Answer: Condominium buyers should ask to see the budget for the property in order to determine what in included in the monthly fees. Condominiums that offer a lot of services and recreational facilities generally charge higher fees. Tennis courts, swimming pools and recreational facilities generally increase the costs of running the condominium association, but in my experience most of the complexes that have clubhouse facilities are complexes with a large number of owners. Spreading the expense of these facilities over a large number of owners often makes the actual additional expense very minimal.
Also, the expense of these features may be offset by increased rental value if you plan to use your unit primarily as an investment rather than as primary residence.
Fees tend to be less in units that where heating expenses are metered separately.
I have worked with any number of buyers who initially feel that they just don’t want the additional expense of homeowner’s dues. Once a buyer understands that these fees include items that they will be paying for no matter where they purchase (i.e. heat, electricity, water, sewer, trash removal, snow removal, cable TV exterior maintenance and building insurance), they are no longer held back from making a buying decision.
Also, be sure to take a look at what kind of funds the association has set aside for capital expenditures. Most associations are far more conservative than individual homeowners in budgeting for major improvements on repairs and tend to include a healthy reserve fund in their budgets.
For answers to your real estate questions, call Allison at 970-468-6800 or