SteveD8 (Florida)
Posts: 2
Posts: 2
Posted:
i have a 1 bedroom 1 bath cond 38 other condos have 2 bed 2 bath 1 has 3 bed 2 bath i am paying same assessment as all
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my condo not fair
Started by SteveD8 • 15 replies • 478 views
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SteveD8 (Florida)
Posts: 2
Posts: 2
Posted:
Quote:
Posted By SteveD8 on 11/30/2022 5:18 AM
i have a 1 bedroom 1 bath cond 38 other condos have 2 bed 2 bath 1 has 3 bed 2 bath i am paying same assessment as all need advice
i have a 1 bedroom 1 bath cond 38 other condos have 2 bed 2 bath 1 has 3 bed 2 bath i am paying same assessment as all need advice
DouglasK1 (Florida)
Posts: 2,046
Posts: 2,046
Posted:
The governing documents created by the developer should define how assessments are determined. Some condos have variable assessments based on square footage or possibly some other criteria, others charge the same amount for all units. This information should have been made available for your review when you bought your unit.
Escaped former treasurer and director of a self managed association.
JohnC46 (South Carolina)
Posts: 14,265
Posts: 14,265
Posted:
If I do not use the association amenities, my dues should be less. My local taxes should be less if I do not have children in school. Shall I go on?
KerryL1 (California)
Posts: 14,550
Posts: 14,550
Posted:
You might take a really close look at your governing documents, especially your declaration (AKA CC&Rs, deed restrictions, covenants) to see HOW dues are calculated.
Our CC&Rs show that there's a square foot varian where larger condos pay a little more than smaller condos. Not a big difference though. A 1,200 sf condo pays $5/mo more than my 1,150 sf condo.
Our CC&Rs show that there's a square foot varian where larger condos pay a little more than smaller condos. Not a big difference though. A 1,200 sf condo pays $5/mo more than my 1,150 sf condo.
WendyM5 (North Carolina)
Posts: 1,522
Posts: 1,522
Posted:
law of self interest.
do the math, the 38 condos arent' gonna wanna subsidize your smaller unit by lowering your fees.
now if you were an owener of one of those 38 condos you'd have enough units to pretty much pass any vote that benefited you.
but your a minority, not in majority. no one cares about being fair unless it benefits them unfortunately.
do the math, the 38 condos arent' gonna wanna subsidize your smaller unit by lowering your fees.
now if you were an owener of one of those 38 condos you'd have enough units to pretty much pass any vote that benefited you.
but your a minority, not in majority. no one cares about being fair unless it benefits them unfortunately.
vis ta vie
SheliaH (Indiana)
Posts: 6,964
Posts: 6,964
Posted:
What Douglas said.
Services covered by your association may also be a factor. for example, if the assessments only cover the common areas, like the hallway lights or elevators, the size of the condos won't impact the cost of repair or replacement, but plumbing might be an issue depending on whether that's only covered by the homeowner for his/her unit or part of the repair expense is covered by the association, depending on where the repairs are needed in the line.
Go back and read your documents. If you think it should be changed, you'll have to convince your neighbors, as any changes to the documents have to be approved by a certain percentage of homeowners (your documents will give you that information). You'll also need a stong argument to convince the ones who have more bedrooms and bathrooms.
Services covered by your association may also be a factor. for example, if the assessments only cover the common areas, like the hallway lights or elevators, the size of the condos won't impact the cost of repair or replacement, but plumbing might be an issue depending on whether that's only covered by the homeowner for his/her unit or part of the repair expense is covered by the association, depending on where the repairs are needed in the line.
Go back and read your documents. If you think it should be changed, you'll have to convince your neighbors, as any changes to the documents have to be approved by a certain percentage of homeowners (your documents will give you that information). You'll also need a stong argument to convince the ones who have more bedrooms and bathrooms.
If it is not right do not do it; if it is not true do not say it. Marcus Aurelius
LetA (Nevada)
Posts: 2,679
Posts: 2,679
Posted:
It's called Equal share, You're an owner and each pays an equal share.
JeanneH3 (North Carolina)
Posts: 158
Posts: 158
Posted:
What you are confused about is the difference between common area and exclusive area. Your condo is an exclusive area that you alone have access to use and purchased at market value. Your neighbors with larger condos paid more for that larger space. The size of a condo and its market value plays no role whatsoever in determining assessment fees.
Everything outside of your condo is referred to, legally, as common area. That includes parking, walk ways, swimming pool, etc. Every unit owner has an equal, undivided percentage owner interest in the common area. For example, I have a .8547% owner interest in the entire common area of our condo as does everyone else who owns a unit. That means each owner shares equally and fairly in paying for the assessments that cover maintenance, repair, etc of the common area. So I pay .8547 percent of the total costs to maintain, repair, etc that common area the same as every other owner. It's quite fair and equal actually.
JohnT38 (South Carolina)
Posts: 1,631
Posts: 1,631
Posted:
Quote:
Posted By JeanneH3 on 12/01/2022 7:06 AM
What you are confused about is the difference between common area and exclusive area. Your condo is an exclusive area that you alone have access to use and purchased at market value. Your neighbors with larger condos paid more for that larger space. The size of a condo and its market value plays no role whatsoever in determining assessment fees.
Everything outside of your condo is referred to, legally, as common area. That includes parking, walk ways, swimming pool, etc. Every unit owner has an equal, undivided percentage owner interest in the common area. For example, I have a .8547% owner interest in the entire common area of our condo as does everyone else who owns a unit. That means each owner shares equally and fairly in paying for the assessments that cover maintenance, repair, etc of the common area. So I pay .8547 percent of the total costs to maintain, repair, etc that common area the same as every other owner. It's quite fair and equal actually.
What you are confused about is the difference between common area and exclusive area. Your condo is an exclusive area that you alone have access to use and purchased at market value. Your neighbors with larger condos paid more for that larger space. The size of a condo and its market value plays no role whatsoever in determining assessment fees.
Everything outside of your condo is referred to, legally, as common area. That includes parking, walk ways, swimming pool, etc. Every unit owner has an equal, undivided percentage owner interest in the common area. For example, I have a .8547% owner interest in the entire common area of our condo as does everyone else who owns a unit. That means each owner shares equally and fairly in paying for the assessments that cover maintenance, repair, etc of the common area. So I pay .8547 percent of the total costs to maintain, repair, etc that common area the same as every other owner. It's quite fair and equal actually.
In some communities the size of a condo does play a role in assessment fees. Mine was one of them. Arguments can be made for doing it either way.
BillH10 (Texas)
Posts: 1,217
Posts: 1,217
Posted:
I agree with John--the assessments for all our condominium clients are determined by the individual unit square footage expressed as a percentage of the total unit square footage of the building or property times the annual budget of the association.
In the majority of our client associations, the actual dollars involved between the smallest and largest units on a monthly basis amount to $20.00 or less--the difference is not worth the time spent on bookkeeping and allocation of voting percentages for annual meeting voting.
We do have a few clients with oversize end units, the range for those properties between low and high is $125.00 to $200.00 per month.
In the majority of our client associations, the actual dollars involved between the smallest and largest units on a monthly basis amount to $20.00 or less--the difference is not worth the time spent on bookkeeping and allocation of voting percentages for annual meeting voting.
We do have a few clients with oversize end units, the range for those properties between low and high is $125.00 to $200.00 per month.
KerryL1 (California)
Posts: 14,550
Posts: 14,550
Posted:
In CA, our condos are called our "separate interest." Our balconies & parking spaces in the underground garage are called "exclusive use common areas." But I don't remember exactly what my on condo was called in NC when I owned there. ( In some states they're 're called limited use common areas.)
As noted above, our assn. uses a sq. ft. variable to determine assessments as is common.
As noted above, our assn. uses a sq. ft. variable to determine assessments as is common.
JohnC46 (South Carolina)
Posts: 14,265
Posts: 14,265
Posted:
Out of the 6 or so associations I have belonged to over the years, yearly assessments (dues) were equal. While not all associations are equal, it is the most common method.
CathyA3 (Ohio)
Posts: 6,299
Posts: 6,299
Posted:
All of the condo communities I've seen have variable assessments based on par value (ie. percentage of ownership). Par value is determined in part by square footage of the unit, but also by other variables such as the size of the garage (1 or 2 cars) and whether or not the unit has others above or below it or is townhome style (adjacent units only on the side).
The only reason I can see for assessing condos the same amount is if the units are substantially similar, which doesn't seem to be the case here.
But this won't be something that's up for debate, it will be defined in declaration/CC&Rs. It also can't be changed without a membership vote, and my CC&Rs require unanimous approval (because if you change one, you have to change them all). If the board changed the assessments to make the math easier or something, that's illegal and they need to be informed of such.
The only reason I can see for assessing condos the same amount is if the units are substantially similar, which doesn't seem to be the case here.
But this won't be something that's up for debate, it will be defined in declaration/CC&Rs. It also can't be changed without a membership vote, and my CC&Rs require unanimous approval (because if you change one, you have to change them all). If the board changed the assessments to make the math easier or something, that's illegal and they need to be informed of such.
MelissaP1 (Alabama)
Posts: 13,836
Posts: 13,836
Posted:
My former HOA we had 1 to 3 bedroom Patio homes. We all paid the SAME dues. That is because we all shared the SAME amenities. We may not have used all of them, but paying for them made it a value to ourselves and potential buyers. That means I may not step a toe into the pool but when I sell my house that buyer may want the pool option. So your also paying into things that attract potential buyers. Which is essentially what a HOA is in the business of doing.
Former HOA President
CathyA3 (Ohio)
Posts: 6,299
Posts: 6,299
Posted:
Quote:
Posted By MelissaP1 on 12/01/2022 8:28 PM
My former HOA we had 1 to 3 bedroom Patio homes. We all paid the SAME dues. That is because we all shared the SAME amenities. We may not have used all of them, but paying for them made it a value to ourselves and potential buyers. That means I may not step a toe into the pool but when I sell my house that buyer may want the pool option. So your also paying into things that attract potential buyers. Which is essentially what a HOA is in the business of doing.
My former HOA we had 1 to 3 bedroom Patio homes. We all paid the SAME dues. That is because we all shared the SAME amenities. We may not have used all of them, but paying for them made it a value to ourselves and potential buyers. That means I may not step a toe into the pool but when I sell my house that buyer may want the pool option. So your also paying into things that attract potential buyers. Which is essentially what a HOA is in the business of doing.
Patio home communities generally behave like other single family home communities - ie. equal assessments since the shared property/expenses are pretty evenly divided.
Condos are different. The ownership of the shared property is determined by par value/percentage of ownership, which typically varies by the size of the units among other things. A person in a 3-bedroom condo will own a greater percentage of the common areas than someone in a 1-bedroom unit - thus consumes a greater share of the assessment dollars. Hence the different assessments for condos.
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