HOA Fees Guide: Average Costs, What They Cover & Red Flags (2026)
By Wealthvieu · Updated
HOA fees are often overlooked when budgeting for a home. But they can add $100-$1,000+ per month to your housing costs and they never go away. Here’s everything you need to know.
Table of Contents
Average HOA Fees by Property Type
Property Type
Average Monthly Fee
Annual Cost
Range
Single-family (planned community)
$150
$1,800
$50-$400
Townhome
$275
$3,300
$150-$500
Condo (mid-rise)
$375
$4,500
$200-$700
Condo (high-rise/luxury)
$600
$7,200
$350-$2,000+
55+ community
$350
$4,200
$200-$800
Gated community
$300
$3,600
$150-$600
Resort-style community
$400
$4,800
$250-$800
Average HOA Fees by State
State
Avg Monthly HOA
Avg Annual HOA
Alabama
$200
$2,400
Arizona
$225
$2,700
California
$375
$4,500
Colorado
$300
$3,600
Connecticut
$325
$3,900
Florida
$325
$3,900
Georgia
$225
$2,700
Hawaii
$550
$6,600
Illinois
$300
$3,600
Maryland
$250
$3,000
Massachusetts
$400
$4,800
Michigan
$200
$2,400
Minnesota
$275
$3,300
Nevada
$200
$2,400
New Jersey
$350
$4,200
New York
$600
$7,200
North Carolina
$200
$2,400
Ohio
$225
$2,700
Oregon
$275
$3,300
Pennsylvania
$275
$3,300
South Carolina
$225
$2,700
Tennessee
$200
$2,400
Texas
$225
$2,700
Virginia
$250
$3,000
Washington
$325
$3,900
What HOA Fees Cover
Typical Coverage by Community Type
Expense
Single-Family HOA
Condo HOA
High-Rise Condo
Common area landscaping
✅
✅
✅
Pool/fitness center
Sometimes
✅
✅
Clubhouse
Sometimes
✅
✅
Exterior maintenance
❌ (your responsibility)
✅
✅
Roof
❌
✅
✅
Building insurance (master policy)
❌
✅
✅
Water/sewer
❌
Sometimes
Often
Trash/recycling
Sometimes
✅
✅
Snow removal
Sometimes
✅
✅
Security/gate
If gated
Sometimes
✅
Elevator maintenance
N/A
N/A
✅
Doorman/concierge
N/A
N/A
Sometimes
Parking garage
N/A
Sometimes
✅
Reserve fund contributions
✅
✅
✅
The True Cost of HOA Fees Over Time
Monthly Fee
10-Year Cost
20-Year Cost
30-Year Cost
With 3% Annual Increase (30 yr)
$150
$18,000
$36,000
$54,000
$87,000
$250
$30,000
$60,000
$90,000
$145,000
$350
$42,000
$84,000
$126,000
$203,000
$500
$60,000
$120,000
$180,000
$291,000
$750
$90,000
$180,000
$270,000
$436,000
HOA fees typically increase 3-5% per year. A $300/month fee today becomes ~$725/month in 30 years at 3% annual increases.
Impact on Home Affordability
How HOA Affects Your Buying Power ($100K Income, 6.5% Rate)
Monthly HOA
Max Mortgage Payment (28% DTI minus HOA)
Max Home Price
$0
$2,333
$370,000
$150
$2,183
$345,000
$250
$2,083
$330,000
$350
$1,983
$315,000
$500
$1,833
$290,000
A $350/month HOA reduces your buying power by $55,000.
Special Assessments: The Hidden Risk
What
Details
Definition
One-time charges for unexpected or large repairs not covered by reserves
Common causes
Roof replacement, elevator repair, plumbing, structural issues, storm damage
Typical amounts
$1,000-$30,000+ per unit
Frequency
Can happen at any time, more common in older buildings
Payment
Usually lump sum or installment plan (6-24 months)
Can you refuse?
No. It’s legally binding.
Examples of Real Special Assessments
Building/Community
Assessment Amount
Reason
Miami condo (post-Surfside)
$15,000-$50,000/unit
Safety inspections and repairs
Aging high-rise (roof/facade)
$8,000-$25,000/unit
Deferred maintenance
Post-storm community
$5,000-$15,000/unit
Uninsured damage
Pool/amenity upgrade
$2,000-$5,000/unit
Capital improvement
Plumbing overhaul (older building)
$10,000-$20,000/unit
Pipe replacement
HOA Red Flags Before Buying
Red Flag
Why It Matters
Low reserve fund (<25% funded)
Special assessments coming
Recent fee increases over 10%/year
Financial mismanagement or deferred maintenance
Active or pending lawsuits
Legal costs = fee increases
High percentage of rentals (>50%)
Less owner investment in community
Deferred maintenance (visible deterioration)
Major costs coming
Meeting minutes show frequent conflict
Dysfunctional board
No reserve study in last 3 years
They’re flying blind
Multiple special assessments recently
Ongoing financial issues
Budget doesn’t include reserve contributions
Underfunded reserves guaranteed
High delinquency rate (>10% of owners)
Cash flow problems
HOA Documents to Review Before Buying
Document
What to Look For
CC&Rs (Covenants, Conditions & Restrictions)
Rules on rentals, pets, modifications, use restrictions
Bylaws
Governance structure, voting rights, amendment process
Financial statements (last 3 years)
Revenue, expenses, trends, deficits
Reserve study
Current funding level, planned maintenance, projected costs
Meeting minutes (last 12 months)
Disputes, planned assessments, maintenance issues
Budget (current year)
Where money goes, reserve allocation
Insurance policy (master)
Coverage limits, deductibles, exclusions
Delinquency report
What percentage of owners are behind on payments
Pending litigation
Any lawsuits against or by the HOA
HOA vs No HOA: Total Cost Comparison
30-Year Ownership Cost ($400,000 Home)
Cost
With HOA ($300/mo)
Without HOA
Mortgage (6.5%, 20% down)
$726,000 total
$726,000
HOA fees (30 years, 3% increase)
$174,000
$0
Pool/gym membership equivalent
$0 (included)
$36,000
Landscaping
$0 (included)
$36,000
Exterior maintenance
$0 (included for condo)
$60,000
Snow removal
$0 (included)
$9,000
Roof (homeowner responsibility)
$0 (condo) / varies
$25,000
Total additional cost
$174,000
$166,000
In this example the costs are nearly equal, but the HOA removes DIY maintenance hassle. The calculus changes significantly with higher HOA fees.
