Home Builder Developer - Interior Renovation and Design

Before we ever bought our condo and had a monthly association fee to pay, I was under the impression that I'd really dislike such a regular financial obligation. However, having been in this situation for over a year now, I'm finding our association fee surprisingly beneficial. While such fees can come in differing amounts depending upon location, number of units within the association, and what the fees are meant to cover, I've found that certain factors have come into play in helping us determine whether or not such a fee is worth the cost.

Breaking Down What the Fee Covers

Knowing what an association fee is for and how it will be applied to the various aspects of living in a home is an important part in deciding if it is indeed worthwhile. There are many components of living within a community that an association fee might apply to. Road maintenance, maintaining a community pool, tennis courts or clubhouse, grounds upkeep, repairs, snow removal, trash, water and sewer services, insurance, and a variety of other items could be covered by such a fee.

With our particular association fee, we get our water/sewer/trash services, our condominium's common insurance fee, common area utilities, lawn maintenance and snow removal, repairs to the exterior of the building and common areas paid, and the management company is paid from this fund as well. There is also a reserve fund that is maintained as well. We receive a regular budget that allows us to see how our money is being applied to such items.

Cost Analysis

By knowing what costs an association fee covers, it makes it easier to conduct a cost analysis to decide whether such a fee is indeed worthwhile. In our case, we can compare our current situation, and the cost involved -- a $300 a month association fee -- to the costs we were incurring in our previous single-family home to see if it pays off.

Current Condo

TOTAL -- $300.00

Previous Single-family Home

TOTAL -- $249.82

The rest is here:
First Person: Is a Condo Association Fee Worth the Cost?

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