Why are common charges so high in NYC?

Often there are reasons to think the high costs will come down. Co-ops often have high maintenance fees because they include an underlying mortgage. Mortgages get paid down and inflation erodes their real cost. High property taxes can push up costs in either co-ops or condos.

Why are HOA fees so high in NYC?

It also includes the salaries of any staff your building employs, such as a doorman or superintendent. The more luxurious your building’s amenities are, the higher your monthly fees will be. The cost is also determined by whether or not you’re buying a co-op or a condo.

Why are common charges so high?

Common charges are set based on the size (and in some cases, also the location) of one’s unit. In essence, the condo unit’s “percentage of common interest” (a variable usually based solely on square footage) is multiplied by the cost of the included operating costs. Therefore, the bigger the unit, the higher the fees.

Is it better to buy a coop or condo?

Condos often cost more, but allow a greater degree of freedom and flexibility than co-ops, and an easier approval process. With co-ops you can save on closing costs, afford more square footage and have lesser monthly fees, but you may loose the flexibility that is offered by condos.

What do NYC common charges cover?

Common charges are designed to cover all the shared costs of amenities and services available in the building. This can include management fees, operating costs, amenities and staff salaries. It does not include taxes, as condo owners receive separate tax bills for their own specific unit, unlike co-op owners.

What do common charges include NYC?

The owner of each unit in a condo building pays common charges, which are monthly fees that cover the building’s amenities, services, and upkeep. Common charges may include building staff salaries, management fees, and amenities such as heat, gas, and parking.