In Costa Rica, maintenance fees or HOA (Homeowners Association) fees are common in gated communities, condominiums, and some residential developments. These fees cover the upkeep of shared amenities and services, such as:
- Security (gated access, guards, cameras)
- Landscaping and maintenance of common areas
- Swimming pools, gyms, or other recreational facilities
- Road maintenance and infrastructure
- Waste management and general services
- Additional Costs: Be aware of potential special assessments for major repairs or improvements, which can be charged on top of regular fees.
Living in a condominium or gated community can effectively address security concerns. With a professional property management or condo administration company overseeing the community, you can confidently lock up your home and head to work.
However, when you receive your first monthly HOA bill and discover that you’ll need to pay $550, it raises a crucial question: can you afford those condo fees?
Key Points:
- Cost Range: HOA fees can range from $100 to $1,000+ per month, depending on the location, services, and level of luxury of the community.
- Payment: Fees are typically paid monthly or quarterly and are obligatory for all residents in the community or condominium.
- Budgeting: It’s important to factor in HOA fees when purchasing a property in Costa Rica, especially in luxury communities or tourist-heavy areas where these fees can be higher.
In Costa Rica, the legal framework governing maintenance and HOA fees is outlined primarily by the Civil Code and specific regulations regarding condominiums and property associations.
Law #7933: Ley Reguladora de la Propiedad en Condominio
The Costa Rican Civil Code includes provisions about property ownership, obligations of property owners, and the management of common areas. Law No. 7933 regulates condominiums, detailing the rights and responsibilities of owners, the formation of HOAs, and the management of shared spaces.
HOA Regulations: Each HOA is required to create its own bylaws, which must be registered and outline rules, fee structures, and governance.
Fee Assessment: Fees must be based on a predetermined formula in the bylaws, usually proportionate to the size or value of each unit.
Voting Rights: Property owners typically have voting rights in HOA decisions, including fee adjustments and budget approvals.
Dispute Resolution: The law provides mechanisms for resolving disputes between homeowners and the HOA, often through mediation or court proceedings.
Transparency: HOAs are required to maintain financial transparency, providing owners with access to budgets, expenditures, and meeting minutes.
Understanding these legal aspects is crucial for anyone considering property in a community governed by an HOA in Costa Rica.