Condo Fees

[TheSutterDynasty]

Hey CP,

Are there any type of laws that dictate/influence how much condo fees can go up in a year or multiple years? Is a certain amount of notice required to owners?

Anyone else's go up due to natural gas rates and insurance?

We have a slated significant increase (20%) which is on top of a monster special assessment. Just wondering if we have any options/recourse (I've read through the special assessment thread in regards to that).

[lorenavedon]

ouch! care to share the name of the condo complex?

[jkstuart12]

Don't have an answer to your question, but my fees went up 28% last year but are remaining the same this upcoming year. It was a nice surprise getting the annual report this week to learn that there will be no increase.

[GreatWhiteEbola]

I need to become more active on the condo board in my rental condo. I noticed in the annual report there's $6000 budgeted for "phone".... Really? Who's using this phone?

[calgarygeologist]

Originally Posted by GreatWhiteEbola

I need to become more active on the condo board in my rental condo. I noticed in the annual report there's $6000 budgeted for "phone".... Really? Who's using this phone?

Might be the phone system that runs your door buzzer system although even with that it seems expensive.

[GoinAllTheWay]

Mine have certainly jumped over the past few years but in the 14 yrs I've been here, the total increase would be around $200 maybe?

I live in an older, fairly large complex so it certainly requires upkeep.

We got dinged for 13k in special assessments a couple of years ago but that's the only time since I've been here. Payments were spread out over a few years so it was certainly done in an accommodating manner. It had to be done as our roofs were in bad shape and and the sewer system needed some upgrades.

[Bring_Back_Shantz]

I was on the condo board at my old place for about 6 years.
I'm pretty sure there are no laws in place that limit the amount condo fees can go up.
And realistically, there shouldn't be. If the condo is being run poorly and fees need to go up to get the financials in order, then there shouldn't be an impediment to doing that. It sucks, but it's part of the risk/responsibility of buying into a condo.

As for whether or not you have any options/recourse, I'll tell you the same thing I tell everyone who has any concerns about condo living, get on the board. If you don't get involved, then you have no one to blame but yourself when things aren't being run the way you want.

[Calgary14]

I'm not aware of any law which limits condo fee increases and they can be insanely high for some buildings. I think most building were forced to raise their condo fees in the past couple years due to utilities, insurance, etc.

The issue (long term) is how quickly they are going up in general. It sounds crazy to think condo fees could be more than a mortgage payment but if condo fees keep going up the way they do, it will definitely happen

[Mass_nerder]

Yeah, my condo fees have been steadily climbing for the last 5 years. They've gone up around $200/month in that time.
Don't think there's much you can do unfortunately.

[TheSutterDynasty]

Thanks all.

Many of the board members own multiple units in our building, so things are still in their best interest.

The worst part is the homework was done in buying this place as many upgrades / special assessments were done over the past 10 years. Unfortunately some of that is turning out to have been a patch over.

[OMG!WTF!]

I think it's kind of the other way around. There are laws that force condo boards to maintain the reserve fund at whatever cost. So there can't be a limit on the amount of increase or frequency. Mine were $901 when I sold last year. My mortgage was $1201. I suspect they will be the same by 2016.

[Travis Munroe]

I just had mine go up 10% with a SA of 1 months condo fees. I knew this was a strong possibility when I bought and expect a couple more small SA's... I cant stress enough to really study your boards finances and reserve fund study. It can often help you plan in advance!

[killer_carlson]

There are no laws limiting the increase in Alberta