HOA Fees Can Make or Break A Condo’s Resale Value!

Posted On: October 16, 2010 By: michael

Charlotte’s Condo life is a great option for young professionals, small families and people wanting to live in urban areas, or those that don’t want to worry about yard work.  Many condo complexes also offer their own amenities like pools, a concierge, fitness centers, community rooms, and rooftop terraces.  Many buyers may want these types of buildings, but they should make sure they have all the facts before they purchase a condo.  In most cases, more amenities equal higher the HOA fees.

One of the advantages of living in a condo is its affordability.  Condo prices, depending on location are usually lower than townhomes and single family homes.  While single family homes, townhomes, and condo’s all have Home Owner’s Associations that take care of communal property, condo owners typically pay more to their HOA’s than owners of any other type of property.  No matter what type of property you live in, you probably will have some type of HOA.  Generally condo HOA fees are generally more expensive than any other type of property.

The reason condo HOA fees are so much higher than other HOA’s is that condo buildings provide HOA’s with a lot more property to maintain.  Condo owners really only own the property between their interior walls, floor, and ceiling. The rest has to be paid for by the HOA, which includes hallways, elevators, roofs, exteriors, and any additional amenities.  Most HOA fees also cover the master insurance premium which covers the building (not contents) in case fire / flood.  Generally I recommend to all my clients to get a contents policy which is generally under $200 a year.

When purchasing a condo, decide what amenities are important to you.  Are you really going to use that pool and concierge service that you are paying monthly for?  Remember your HOA fee will become factor when selling your unit.

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