As more residents face foreclosure, condo fees increase for all

From the South Florida Web site: In condo buildings throughout South Florida, monthly homeowner association fees are reaching nearly $1 a square foot, an expense that is starting to scare away some prospective buyers. In a number of cases, fees have doubled or worse. If condo owners stop paying those fees — a common course for occupants and investors in foreclosure or people hit by rising unemployment — the remaining owners must absorb the cost through higher fees and special assessments. “It’s getting crazy,” said Pablo Alvarez, broker and manager at Kendall-based Realty World Real Estate Center. “Many times when a buyer sees the association fees, that pretty much rules out that property.” The fees and assessments are sure to rise higher as the number of defaults in a condo building increases. The Real Deal also looks at co-op and condo boards that face owners who cannot pay their monthly fees in this week’s Webcast.