condo building equity

When you purchase a condo unit you will be given the %age of building ownership associated with your unit. This %age is used to calculate your unit's share of improvement costs. If an collection of an assessment has already started for improvements, then the departing owner would (usually) have already made their contribution for the time they have been there. You would be responsible for the balance of assessment payments due (these would ordinarily continue to be paid monthly) . The assessment for a large project such as roof,facade,HVAC etc. may be $5-30K/unit, depending on the scope of work and the number of units which translates to several hundred dollars per month. This may be reflected in some cases as a discount from the listing price for the total remaining to be paid, especially in the current sales environment. On the other hand, if the unit is priced fairly and there are multiple offers, you are weakening your bid position to suggest a further discount for any reason .

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