WHAT TO KNOW WHEN BUYING OR SELLING A CONDO

Typically, meetings at which the condo board & management company report to the owners on management and financial matters, and non-board owners may have the opportunity to speak and discuss issues of concern. In some condos, elections may be held during the annual meetings.

Rules governing the internal management of the condo. You should review these prior to purchase because when you buy, you agree to abide by the condo bylaws.

The portions of a building, land & amenities that are used by all unit owners, sharing common expenses of their operation & maintenance. Common areas can include swimming pools, tennis courts & community rooms or centers.

AKA the “master deed,” is a legal document that formally creates the condominium corporation in accordance with state law. The declaration defines the units & common property and specifies the interest each owner has in the common elements.

An administrative tool used by the NFIP to provide elevation information necessary to ensure compliance with community floodplain management ordinances; to inform mitigation actions that will lower flood risk; and/or support a request for a LOMA to remove a building from a high-risk

An insurance policy purchased by a condo or homeowners’ association to provide coverage for the building exteriors and common elements; interiors of individual units may be included. Costs are borne by the condo owners through condo fees

Refers to individual condos being occupied by their owners (not rented out by the owner). The higher the rental rate, for example, the lower the rate of owner occupancy.

A fund set aside for replacement of common property in a condominium project. The amount of the fund is typically determined by periodic reserve studies conducted by experienced professional reserve analysts.

Special charges against individual unit owners in a condo project to cover the homeowners’ association’s expenses and/or to repair, replace, maintain, improve, or operate the common areas of the project. These levies are in addition to the normal, recurring common element fees/expenses.