When it comes to your future home, there are a lot of choices! So when you’re deciding what type of home you want for your future dream house, it makes a lot of sense to consider all your options. This includes apartments, houses, and even condos– yes, condos!
While you may never have considered joining a condo association, many people who buy condos do end up joining associations because it’s part of the deal. When purchasing a condo, you are ultimately buying more than just a home– you are actually buying into having an interest in the common areas and everywhere around your condo– the lobby, grounds, hallways, and exterior. You will ultimately be owning a share of the building and join the association if you buy one. We’ve got the information on what these associations do and what they’re about, so read on to find out more!
When there are a certain amount of units in a condo building, and you purchase a condo in it, you actually become a member of the building association. Associations when it comes to condos are non-profit businesses. They’re not providing living spaces for profit and are registered and even have officers in its association, such as a president, treasurer, secretary, and more. Larger associations are known to have a Board of Director if they are very large, for instance, a New York City condo association. Associations also are able to get bids for jobs around the building and hire companies to manage its property if it wants to.
These associations also tend to collect dues from the members. Keep that in mind when considering purchasing a condo– it’s going to end up being more than the actual amount that you paid for it. The fees keep coming, and can be collected either quarterly or monthly, which is generally more often the case. Dues get poured into the reserves, which is how much money the association has saved. It is this reserve that is going to provide the money to pay for larger projects around the building as well as maintenance and repairs. As a member, you are a vital part of the continuing excellence and maintenance of your building.
Associations that do have boards will usually be the ones to approve decisions as well. While the ways that this is done will vary and they can change state to state and based on size and the question at hand, usually the issues are voted on by a board. However, when it comes to larger changes and new bylaws that are proposed, all members will usually vote and have a say on the issue. The amount of approval when it comes to voting to pass a change also varies according to associations.
They will also frequently issue special assessments. These are a one time due that happens in addition to fees if the association cannot pay for something that needs to be done. It’s not fun to pay extra out of your own pocket– but keep in mind that this may occur during your time as a tenant when it comes to living in a condo.
This is essentially what associations do– they keep track of what goes on and vote on issues. They also keep the condo building running. Keep in mind when shopping that if you buy a condo, you buy an association too. If you love an apartment and you’re willing to pay dues and participate, a condo might just be the right home for you.