Special offer

Condo Fees Can Make Or Break A Condo Sale

By
Services for Real Estate Pros with RE/MAX Executive Realty - Happily Retired 104763

 

 

Buyer agents beware!!  When selecting the right new condominium community in which to live, the monthly condominium fee should be reviewed with great detail.  Pay attention to the pattern of adjustments that have occurred from year to year.  Consider the upkeep of the amenities that are provided within the community. 

Do the proper research if there is a system on site with which you may not be familiar, i.e. a waste water treatment plant.  Waste water treatment plants are required if town sewer is not available and the number of units in the community exceeds a certain number.  These treatment plants are governed by EPA standards and are subject to inspections periodically.  There are upgrades that the EPA requires every five years and these upgrades may create a significant increase in the condominium fee.  As condominium fees increase, the market value of the new units may decrease. 

Buyer agents beware!!  Do your proper due diligence when it comes to researching the future maintenance requirements of whatever on-site amenities and utilities the community offers.  Make your condominium selection wisely with both eyes open and compare condominium fees in all subdivisions. 

Posted by

 

 

Barbara Todaro, Great Grandmother to Caleb, Santino, Aiden and Gianni       

Todaro Team - Retired

508-918-9148

               

             Copyright © 2009 - 2021 Barbara Todaro

                               All Rights Reserved



 

Comments(10)

Dan Benefield
Benefield Realty - Decatur, GA

Good points Barbara. I like to find out how much they have in the reserve account as well.

Apr 20, 2010 03:16 AM
Cynthia Larsen
Cotati, CA
Independent Broker In Sonoma County, CA

Condo fees can be a deal breaker here.  So many HOA's have assessments scheduled for the near future that would ultimately be the responsibility of the new home buyer.  The problem we have here is that it is taking so long to get the HOA docs, the buyer doesn't have time to review them properly.

Apr 20, 2010 03:16 AM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

Dan....yes, a healthy reserve account is a stable community....

Apr 20, 2010 03:26 AM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

Cynthia....we don't have a problem with obtaining the docs.....that's the easy part....

Apr 20, 2010 03:29 AM
Li Read
Sea to Sky Premier Properties (Salt Spring) - Salt Spring Island, BC
Caring expertise...knowledge for you!

This is an exceptionally important point!

Apr 20, 2010 03:35 AM
Todd Clark - Retired
eXp Realty LLC - Tigard, OR
Principle Broker Oregon

Price is not everything when it comes to condos, that is for sure! You have to be very careful that no special assessments are coming up as well. A lot of people are trying to sell because they know they won't be able to pay it.

Apr 20, 2010 03:40 AM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

Li.......there are new condo communities that have condo fees that jump significantly and the builder then decides to subsidize the fee for a year+ to maintain sales.....once the fee jumps to the real number, the values begin to drop because the fee is so high.....no one can afford to buy the units at the higher price with a high condo fee......borderline deceiving.

Apr 20, 2010 03:42 AM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

Todd....That's true.....however, as you know, with new construction the fee always increases annually and when the builder starts subsidizing for a year+ the buyer's agent needs to think about the consequences when the real number surfaces.

Apr 20, 2010 03:48 AM
Joshua Zargari
MJ Decorators Workshop LI staging and home decorating - Lynbrook, NY
MJ Decorators Workshop

Make sure you have a "cushion" to fall on...

Barbara! As always you are so right.

Apr 20, 2010 11:18 AM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

Right, Joshua.....

Apr 20, 2010 11:23 AM