How are maintenance fees calculated?

THE MAINTENANCE FEE CALCULATION The Operating Expenditures plus the Reserve Fund Contribution equals the Common Expense Contribution (CEC). Each owner then pays a percentage of the CEC based on their \% of ownership in the Corporation. You can find the percentage breakdown of shares in your condo declaration.

What maintenance costs include?

Maintenance expenses are costs incurred when performing routine actions to keep an asset in its original condition. Examples of maintenance costs include simple electrical repairs, bulb replacement, paint touch-ups, pool cleaning, lawn care, etc.

Is maintenance fee the same as condo fee?

Also, maintenance fees are paid on top of your mortgage financing. However, condo fees often cover many expenses that freehold house owners typically pay, either directly or indirectly.

How much does the average homeowner spend on maintenance?

Californians spend an average of $16,957 per year on home maintenance, the seventh most in the country and the highest of any Western state.

Can you negotiate maintenance fees?

Typically, you can’t negotiate HOA fees. That is to ask the seller to cover a few months of fees on your behalf. This negotiation tactic only works in a buyer’s market.

What counts as repairs and maintenance?

Repairs and maintenance expense is the cost incurred to ensure that an asset continues to operate. For example, replacing the oil filter in a truck is considered a maintenance cost, while replacing the roof of a building extends the life of the building, and so its cost will be capitalized.

Are maintenance fees negotiable?

You cannot negotiate the cost of insurance & heating oil & building upkeep & repairs. The next time you get a bill, call the provider & ask if you can negotiate the bill because you don’t like the price.

How much should you offer on a condo?

Housemethod.com recommends calculating a price based on similar homes and coming in 4\% – 7\% below to begin negotiations. So if the asking price is $260,000, you should start your negotiations somewhere between $241,800 – $249,000. If the seller doesn’t accept your offer, they may make a counteroffer.