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Is there a way to live in the city without paying exorbitant fees to an HOA for crumbling infrastructure and their cronyist maintenance contracts? Every time I

Is there a way to live in the city without paying exorbitant fees to an HOA for crumbling infrastructure and their cronyist maintenance contracts? Every time I look at real estate, the HOA fees pretty much make condo living a no-go. I'm somehow supposed to believe that it takes $800/mo to service a small 2-br apartment? In many cases that doesn't even include utilities.

zamfi 7y ago
This often includes either a) full-time staff, in the case of building with doormen or maintenance staff, or b) payback of construction loans or mortgages taken to pay for maintenance. But: do you live in a house? I assume you haven’t had to maintain it much yet...new roof, new heating, new sewer line, renovations, etc. all cost tons of money. I’d be surprised if for a house > 50 years old, you’re paying less than a few hundred a month on maintenance on average.
- toasterlovin 7y ago
  The rule of thumb for home maintenance is 1% of purchase price per year. Which isn't $800/month for most people, but is around the few hundred per month you mentioned.
- antisthenes 7y ago
  I actually have already (replaced the AC compressor, which cost ~$1600). Landscaping was about $500 for the whole year. Either way, that's only $2100, compared to something like $10,000 I would have paid in HOA fees in an older condo around the same area. Renovations are not-at-all comparable, as they are strictly an improvement. I don't know of a single HOA that came in and renovated someone's condo for free. 1% of house/land value is still cheaper than HOA fees in 90% of cases.
cardiffspaceman 7y ago
I lived in a condo which was 2/3 owned by one corporation. The high-cost maintenance that only happens every 20-50 years was NOT amortized into the HOA fee. It was expected that special assessments would pay for such things. And the corporation for its part was happy with that arrangement. In the short term the regular HOA fee was lower.

zamfi 7y ago

This often includes either a) full-time staff, in the case of building with doormen or maintenance staff, or b) payback of construction loans or mortgages taken to pay for maintenance. But: do you live in a house? I assume you haven’t had to maintain it much yet...new roof, new heating, new sewer line, renovations, etc. all cost tons of money. I’d be surprised if for a house > 50 years old, you’re paying less than a few hundred a month on maintenance on average.

toasterlovin 7y ago
The rule of thumb for home maintenance is 1% of purchase price per year. Which isn't $800/month for most people, but is around the few hundred per month you mentioned.
antisthenes 7y ago
I actually have already (replaced the AC compressor, which cost ~$1600). Landscaping was about $500 for the whole year. Either way, that's only $2100, compared to something like $10,000 I would have paid in HOA fees in an older condo around the same area. Renovations are not-at-all comparable, as they are strictly an improvement. I don't know of a single HOA that came in and renovated someone's condo for free. 1% of house/land value is still cheaper than HOA fees in 90% of cases.

cardiffspaceman 7y ago

I lived in a condo which was 2/3 owned by one corporation. The high-cost maintenance that only happens every 20-50 years was NOT amortized into the HOA fee. It was expected that special assessments would pay for such things. And the corporation for its part was happy with that arrangement. In the short term the regular HOA fee was lower.