[Jannie]

What is the average monthly association fees on a condo in Florida? I just received my bill and it went from $283 to $408 a month. Is this too high or average for Florida.

[jhlcomp]

There really isn't an average per se because condos can vary vastly. The condo fee had to have been discussed and approved during your annual board meeting and there should have been a letteer sent to you.

Remember, increases are a result of a number of factors:
- Insurance increase
- Maintaining reserves
- Additional assessments
- General increase from year to year

A number of factors.

As an owner, you want to get involved with your condo association or at least attend the meetings - this is the best way to stay educated. While this was a signifcant jump, search out one of the board members to see what happened.

[Need_affordable_home]

I checked out condos and one of them wanted $260 fees. Wow $400 a month is crazy! Plus you still need to pay for hurricane insurance and prop taxes! A $200k condo can cost $4k a year in prop taxes, another $5k in HOA and another $2k hurricane insurance. Thats $11k a year excluding those $1400 monthly mortgage! Even the overpriced rent the landlords charge begin to look good. Relocating looks even better.

[macguy]

Originally Posted by Need_affordable_home

I checked out condos and one of them wanted $260 fees. Wow $400 a month is crazy! Plus you still need to pay for hurricane insurance and prop taxes! A $200k condo can cost $4k a year in prop taxes, another $5k in HOA and another $2k hurricane insurance. Thats $11k a year excluding those $1400 monthly mortgage! Even the overpriced rent the landlords charge begin to look good. Relocating looks even better.

Why do you always assume the landlord is ripping you off?

[Need_affordable_home]

Originally Posted by macguy

Why do you always assume the landlord is ripping you off?

Because I think rent is too high, this is especially true in Oil City. Im considering being a landlord and charging less rent than everyone else and getting all the tenents My profits will be thru the roof too...

[Magnolia Bloom]

Originally Posted by Need_affordable_home

I checked out condos and one of them wanted $260 fees. Wow $400 a month is crazy! Plus you still need to pay for hurricane insurance and prop taxes! A $200k condo can cost $4k a year in prop taxes, another $5k in HOA and another $2k hurricane insurance. Thats $11k a year excluding those $1400 monthly mortgage! Even the overpriced rent the landlords charge begin to look good. Relocating looks even better.

You don't need hurricane insurance as a unit owner in a condo. In a townhouse, however, individual insurance is needed.

For example, in a condo, if the roof needs replacing, the association is responsible for replacing it. In a townhouse, the owner of that unit is responsible. That is why condo association fees are so much more than townhome fees. In all cases, insurance is needed for liablity and contents.

[sunrico90]

Info from the State Office: Important Facts on Association Fees, visit the site for all the information....

Section 718.501(2)(a), Florida Statutes, requires each condominium association that operates more than two units to pay to the division an annual fee in the amount of $4.00 for each residential unit. The fee is due by January 1 of each year. If the fee is not paid by March 1, the association shall be assessed a penalty of 10% of the amount due.

Rule 61B-23.002(1)(a), Florida Administrative Code, requires the division to mail to the association an annual fee statement. Failure to receive the annual fee statement shall not relieve the association of the obligation to pay the fee.

Rule 61B-23.002(2), Florida Administrative Code, requires associations to notify the division of a new mailing address within 30 days of a change of address.

http://www.state.fl.us/dbpr/lsc/condominiums/index.shtml (broken link)

[KAINTUCK]

Very interesting comments here which bolster my sense of the condo market and where it is headed. Due to the recent doubling and even tripling of condo prices the fees,taxes, & insurance mirror a mortgage. A mortgage that can't be paid off and will not go away. I have been looking at the condo market for about 18 months now and I have much study time into the market, by that I mean open houses, constant review of sales magazines, and research on the property appraiser sites. I have a couple of observations I would like to share. First the market is up generally 40 per cent over just the past two years. During12/03-12/05 only a few units per complex set the price. Example a rise from 300m-500m, was created by sales of sometimes less than 6 units in a complex. Hardly an indication of true value and I believe a result of uninformed buyers cajoled by real estate hype. So in my estimation never a true indication of value by the market comparison method. True you only need three sales to arrive at an indication of value but that is typically seen in a trend of over several years . Still, sellers believe that the properties are worth the inflated values as they appear not to be lowering the asking prices. Where sales are occurring they are reflecting an 18% reduction in prior sales price. New sales seem to be holding their own I believe as a result of forward contracting. If someone backs out of a contract it is not refected, recorded, as a sale. Resales however show the drop in values. Since the run up over the two year period is 38-40%, I believe it is good country logic to expect that we are in for an additional 20% correction to get back to par. The fees and taxes are such that I believe it will further discourage sales. If I am retiring with enough to comfortably purchase a condo for $500,000, yet I am not particularly wealthy beyond that, why should I set myself up for a permanent mortgage of $800-$1,000 a month in fees and taxes in my retirement. I think the gig is up. I think if I hold out, I'm still going to face the fees & taxes but will be able to buy at a price that should have been dictated by normal inflation. I.e. a condo now selling for $599,999 should really be selling for $400,000 before we're done with deflation. Sellers may not have a need to lower prices but if sales stay flat sooner or later attrition in it's various forms should occur.I a seeing high end properties that were not seen just a year ago in the foreclosure notices. Golf course houses, condos, etc. whereas usually the mobile home with lot sector is featured. Over all with the b & c paper crowd, over extensions, etc. I think the real estate market is in mucho trouble What do you think? Wishful thinking, dream on, or hang in there?

[cmj_fla]

Hey I had a question about condo association fees.. isn't there some sort of limit an association can charge? I thought I read that there was a law about this.

[tallrick]

Don't forget that property taxes are your lease to the government. If you can't pay they take back what is theirs, you own nothing here!