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. Single Entity Coverage

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

    A type of insurance coverage that applies to communally used ...
  3. All-In Coverage

    A type of insurance coverage that applies to communally used ...
  4. Limited Common Elements

    Elements of condominium living units that are assigned to specific ...
  5. Service Charge

    A type of fee charged to cover services related to the primary ...
  6. Landominium

    A type of residential property in which the owner owns both the ...
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

    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.
  3. Managing Wealth

    Pros & Cons of Investing in a Condo with Friends

    Buying a beach house or big-city pied-à-terre with friends can save money and make sense, but only if you set it up right. Here's how to avoid trouble. thoroughly research and discuss potential ...
  4. Managing Wealth

    Beach Property in California: The Pros & Cons

    Learn the pros and cons of buying a beach condo in California, and how to protect yourself from common pitfalls many condominium buyers experience.
RELATED FAQS
  1. 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 >>
  2. 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. Smart Home

    A convenient home setup where appliances and devices can be automatically controlled remotely from anywhere in the world ...
  2. Efficient Frontier

    A set of optimal portfolios that offers the highest expected return for a defined level of risk or the lowest risk for a ...
  3. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  4. Initial Public Offering - IPO

    The first sale of stock by a private company to the public. IPOs are often issued by smaller, younger companies seeking the ...
  5. Border Adjustment Tax

    A tax levied on goods based on where they are sold – exported goods are exempt from tax; those imported and sold in the ...
  6. Profit and Loss Statement (P&L)

    A financial statement that summarizes the revenues, costs and expenses incurred during a specified period of time, usually ...
Trading Center