DEFINITION of 'Condominium Fee'

A maintenance fee charged by a condominium complex to cover the cost of repairs, landscaping, concierges, or amenities such as a gym or a pool. The condominium fee can be pegged to the size of the unit and what the development expects its expenses to be for the year. If expenses are expected to rise, so too will the condominium fees.

BREAKING DOWN 'Condominium Fee'

Condominium fees are often one of the larger hidden fees that condo buyers neglect to fully take into account. Even if you own the condo outright you may still have to pay condominium fees in perpetuity. If the condo development does not have a reserve fund set aside for emergency repairs you may also wind up being hit with a special assessment fee.

RELATED TERMS
  1. Condominium

    A large property complex that is divided into individual units ...
  2. Single Entity Coverage

    A type of insurance policy that covers all real property in a ...
  3. Bare Walls Coverage

    A type of insurance coverage that applies to communally used ...
  4. Reserve Fund

    An account set aside by an individual or business to meet any ...
  5. Exchange Fees

    A type of investment fee that some mutual funds charge to shareholders ...
  6. Fee

    A fee is a fixed price charged for a specific service and is ...
Related Articles
  1. Investing

    4 Money Misconceptions About Condominiums

    Condo fees and special assessments scare many owners away from condo ownership, but is this fear justified?
  2. Investing

    An Introduction To Buying A Condominium

    This real estate investment provides unique advantages - and challenges.
  3. Investing

    Don't Ignore Maintenance Fees When Buying Real Estate

    Buying an apartment or condo costs more than just the price of the unit. You will also have to pay maintenance fees which can often be hefty.
RELATED FAQS
  1. Can FHA loans be used for condos?

    Learn about Federal Housing Administration (FHA) loans and how individuals can use them to buy condos on the FHA-approved ... Read Answer >>
  2. What kinds of fees are involved in futures trading?

    Learn what the various costs are that are charged by brokerage firms and trading exchanges to individual futures trading ... Read Answer >>
  3. Where do I look for fees that I am charged on investments? What are those fees called?

    The fees and expenses charged for investments vary. The fees usually depend on the type of investment and the investment ... Read Answer >>
Hot Definitions
  1. Two And Twenty

    A type of compensation structure that hedge fund managers typically employ in which part of compensation is performance based. ...
  2. Market Capitalization

    The total dollar market value of all of a company's outstanding shares. Market capitalization is calculated by multiplying ...
  3. Expense Ratio

    A measure of what it costs an investment company to operate a mutual fund. An expense ratio is determined through an annual ...
  4. Mezzanine Financing

    A hybrid of debt and equity financing that is typically used to finance the expansion of existing companies. Mezzanine financing ...
  5. Long Run

    A period of time in which all factors of production and costs are variable. In the long run, firms are able to adjust all ...
  6. Quasi Contract

    A legal agreement created by the courts between two parties who did not have a previous obligation to each other. A normal ...
Trading Center