What we verified in “HOA and CDD fees: dues, special assessments and unpaid dues”

Statements and where we checked them

The statements with rules, figures or dates, with the exact place in the source and the date we checked them.

1. According to the CFPB, condo/co-op fees and homeowners association dues are usually not included in the payment you make to your mortgage servicer; condominiums, co-ops and some neighborhoods may require you to join the association and pay dues; those dues can range from a few hundred dollars a month to more than one thousand dollars a month, and you should factor them in when deciding whether you can afford the mortgage; although it is not common, your servicer may be willing to include them in escrow if you ask.

   Sources 1 · Are condo/co-op fees or homeowners' association dues included in my monthly mortgage payment? (last reviewed Sep 11, 2024): 'Usually not'; 'are not included in the payment you make to your mortgage servicer'; 'Condominiums, co-ops, and some neighborhoods may require you to join the local'; 'can range from a few hundred dollars a month to more than one thousand dollars a month'; 'Be sure to factor in this cost when deciding if you can afford the mortgage'; 'your mortgage servicer may be willing to include your HOA dues in the escrow portion of your monthly mortgage payment upon request' · Checked October 17, 2026

2. According to the CFPB, when you work out how much you can afford you should include costs such as homeowners insurance, property taxes and, where they apply, private mortgage insurance or homeowners association fees; you can get estimates from your insurance agent, the local tax assessor, the homeowners association and the lender.

   Sources 2 · How can I figure out if I can afford to buy a home and take out a mortgage? (last reviewed Jun 27, 2024): 'be sure to include these costs when calculating how much you can afford'; 'You can get estimates from your insurance agent, local tax assessor, homeowners association, and lender' · Checked October 17, 2026

3. Under Florida law, a homeowners association is a Florida corporation that operates a community in which membership is a mandatory condition of owning a parcel, and that is authorized to impose assessments that, if unpaid, may become a lien on the parcel; common area is the property in the community that the association owns or leases or that is dedicated to its use or maintenance; and the law states that a homeowners association does not include a community development district or other similar special taxing district.

   Sources 3 · Florida Statutes §720.301(2) and (9): 'all real property within a community which is owned or leased by an association or dedicated for use or maintenance by the association or its members'; 'membership is a mandatory condition of parcel ownership'; 'authorized to impose assessments that, if unpaid, may become a lien on the parcel'; 'does not include a community development district or other similar special taxing district' · Checked October 17, 2026

4. Under Florida law, a community's governing documents are the recorded declaration of covenants (with its recorded amendments, supplements and exhibits) and the association's articles of incorporation and bylaws with their amendments; and an assessment is money owners must pay as those documents authorize, which if unpaid can result in a lien against the parcel.

   Sources 3 · Florida Statutes §720.301(1) and (8): 'payable to the association, to the developer or other owner of common areas'; 'as authorized in the governing documents, which if not paid by the owner of a parcel, can result in a lien against the parcel'; 'The recorded declaration of covenants for a community and all duly adopted and recorded amendments'; 'The articles of incorporation and bylaws of the' · Checked October 17, 2026

5. Under Arizona law, community documents are the declaration, the bylaws, the articles of incorporation (if any) and the rules (if any).

   Sources 4 · Arizona Revised Statutes §33-1802(3): 'means the declaration, bylaws, articles of incorporation, if any, and rules, if any' · Checked October 17, 2026

6. Under Florida law, the association must prepare an annual budget of its operating expenses and give each member a copy or a notice that a copy is available on request at no charge; the budget may include reserve accounts for capital expenditures and deferred maintenance; if it does not provide fully funded reserves and the association is responsible for repairing capital improvements, its financial report must warn in conspicuous type that this may result in special assessments; and official records are kept for at least 7 years and made available to an owner within 10 business days after the board receives a written request.

   Sources 5 · Florida Statutes §720.303(5)(a): 'must be maintained within this state for at least 7 years'; 'within 10 business days after receipt by the board or its designee of a written request from the parcel owner'; (6)(a)–(c): 'The association shall prepare an annual budget that sets out the annual operating expenses'; 'available upon request at no charge to the member'; 'may include reserve accounts for capital expenditures and deferred maintenance'; 'MAY RESULT IN SPECIAL ASSESSMENTS REGARDING THOSE ITEMS' · Checked October 17, 2026

7. Under Florida law, a prospective buyer in a community with mandatory association membership must be presented a disclosure summary before signing the contract; the summary says the buyer will have to pay assessments to the association, which may change, and any special assessments the association imposes; that the buyer may owe special assessments to the municipality, county or a special district; that failing to pay could result in a lien on the property; that the buyer should refer to the covenants and association governing documents before buying, and that those documents can be obtained from the county record office or from the developer. If the summary was not provided before signing, the buyer may void the contract by written notice within 3 days after receiving it or before closing, whichever comes first; the right cannot be waived and ends at closing. The section does not apply to associations regulated under chapter 718 and other chapters.

   Sources 6 · Florida Statutes §720.401(1)(a), (1)(c) and (2): 'A prospective parcel owner in a community must be presented a disclosure summary before executing the contract for sale'; 'YOU WILL BE OBLIGATED TO PAY ASSESSMENTS TO THE ASSOCIATION'; 'ASSESSMENTS MAY BE SUBJECT TO PERIODIC CHANGE'; 'YOU WILL ALSO BE OBLIGATED TO PAY ANY SPECIAL ASSESSMENTS IMPOSED BY THE ASSOCIATION'; 'YOU MAY BE OBLIGATED TO PAY SPECIAL ASSESSMENTS TO THE RESPECTIVE MUNICIPALITY, COUNTY, OR SPECIAL DISTRICT'; 'COULD RESULT IN A LIEN ON YOUR PROPERTY'; 'YOU SHOULD REFER TO THE COVENANTS AND THE ASSOCIATION GOVERNING DOCUMENTS BEFORE PURCHASING PROPERTY'; 'CAN BE OBTAINED FROM THE RECORD OFFICE IN THE COUNTY WHERE THE PROPERTY IS LOCATED'; 'written notice canceling the contract within 3 days after receipt of the disclosure summary or prior to closing, whichever occurs first'; 'This right may not be waived by the purchaser but terminates at closing'; 'This section does not apply to any association regulated under chapter 718' · Checked October 17, 2026

8. In Florida, chapter 718 of the statutes is known as the Condominium Act.

   Sources 7 · Florida Statutes §718.101, Short title: 'This chapter shall be known and may be cited as the'; 'Condominium Act' · Checked October 17, 2026

9. Under Florida law, a community development district is a local unit of special-purpose government created under chapter 190.

   Sources 8 · Florida Statutes §190.003(6): 'means a local unit of special-purpose government which is created pursuant to this act' · Checked October 17, 2026

10. Under Florida law, every contract for the initial sale of a parcel or a residential unit within a CDD must include, immediately before the space for the buyer's signature and in boldfaced, conspicuous type larger than the rest of the contract, a statement that the district may impose taxes, assessments or both on the property; that they pay the construction, operation and maintenance costs of certain public facilities and services of the district; that the district's governing board sets them annually; and that they are in addition to county and other local government taxes and assessments.

    Sources 9 · Florida Statutes §190.048: 'each contract for the initial sale of a parcel of real property and each contract for the initial sale of a residential unit within the district shall include, immediately prior to the space reserved in the contract for the signature of the purchaser'; 'in boldfaced and conspicuous type'; 'MAY IMPOSE AND LEVY TAXES OR ASSESSMENTS, OR BOTH TAXES AND ASSESSMENTS, ON THIS PROPERTY'; 'PAY THE CONSTRUCTION, OPERATION, AND MAINTENANCE COSTS OF CERTAIN PUBLIC FACILITIES AND SERVICES OF THE DISTRICT AND ARE SET ANNUALLY BY THE GOVERNING BOARD OF THE DISTRICT'; 'ARE IN ADDITION TO COUNTY AND OTHER LOCAL GOVERNMENTAL TAXES AND ASSESSMENTS' · Checked October 17, 2026

11. Under Florida law, a CDD must disclose information about the public financing and maintenance of the improvements it undertakes, make it available to all existing and prospective residents, and file those disclosure documents in the property records of each county where the district is located.

    Sources 10 · Florida Statutes §190.009(1): 'full disclosure of information relating to the public financing and maintenance of improvements to real property undertaken by the district'; 'shall be made available to all existing residents, and to all prospective residents, of the district'; 'shall file the disclosure documents required by this subsection and any amendments thereto in the property records of each county in which the district is located' · Checked October 17, 2026

12. Under Florida law, a CDD's board sets each year the annual installment of the benefit special assessments that pay for the bonds that financed district facilities, and may levy a maintenance special assessment to maintain those facilities; these assessments can be entered on the county tax rolls and collected by the tax collector in the same manner and at the same time as county taxes, although the district may use another method; they are a lien on the property from the date imposed until paid, coequal with state, county, municipal and school board taxes; they become delinquent and bear penalties the same way county taxes do; and the rules for unpaid county taxes, including tax certificates and tax deeds, apply to unpaid district taxes.

    Sources 11 · Florida Statutes §190.021(2)–(5) and (9): 'the annual installment of the total benefit special assessments for bonds issued and related expenses to finance district facilities and projects'; 'To maintain and preserve the facilities and projects of the district, the board may levy a maintenance special assessment'; 'shall be entered by the property appraiser on the county tax rolls and shall be collected and enforced by the tax collector in the same manner and at the same time as county taxes'; 'shall not prohibit the district in its discretion from using the method prescribed in either'; 'the issuance, sale, and delivery of tax certificates for such unpaid and delinquent county taxes'; 'the issuance to individuals of tax deeds based thereon'; 'shall become delinquent and bear penalties on the amount of such taxes in the same manner as county taxes'; 'shall constitute a lien on the property against which assessed from the date of imposition thereof until paid, coequal with the lien of state, county, municipal, and school board taxes' · Checked October 17, 2026

13. Under Florida law, a CDD's board may levy special assessments to build, rebuild, acquire or maintain district facilities, and those assessments may be made payable in no more than 30 yearly installments.

    Sources 12 · Florida Statutes §190.022: 'may levy special assessments for the construction, reconstruction, acquisition, or maintenance of district facilities'; 'may be made payable in no more than 30 yearly installments' · Checked October 17, 2026

14. Under Florida law, the association must issue an estoppel certificate within 10 business days after receiving a request from the owner, the mortgage lender or someone either of them designates; the certificate states the regular assessment and how often it is paid, the date it is paid through, and when the next installment is due and for how much.

    Sources 13 · Florida Statutes §720.30851: 'Within 10 business days after receiving a written or electronic request for an estoppel certificate from a parcel owner'; 'or a parcel mortgagee'; 'The regular periodic assessment levied against the parcel is'; 'insert frequency of payment'; 'The regular periodic assessment is paid through'; 'The next installment of the regular periodic assessment is due' · Checked October 17, 2026

15. Under Regulation Z, the Loan Estimate's projected payments table shows a 'Taxes, Insurance & Assessments' line with the monthly total of mortgage-related obligations (such as property taxes, insurance and association dues), even if there is no escrow account; it states that the amount can increase over time, what it includes, whether the lender will pay it from escrow, and that the consumer must pay separately whatever is not paid from escrow.

    Sources 14 · 12 CFR §1026.37(c)(4)(i)–(v): 'Taxes, Insurance & Assessments'; 'even if no escrow account for the payment of some or any of such charges will be established'; 'can increase over time'; 'an indication of whether such amounts will be paid by the creditor using escrow account funds'; 'A statement that the consumer must pay separately any amounts' · Checked October 17, 2026

16. Under Regulation Z, 'mortgage-related obligations' include property taxes, certain insurance premiums and the fees and special assessments imposed by a condominium, cooperative or homeowners association; to decide whether you can repay the loan, the lender must consider your monthly payment for those obligations; and they are part of the total monthly debt obligations used for the debt-to-income ratio.

    Sources 15 · 12 CFR §1026.43(b)(8): 'Mortgage-related obligations mean property taxes'; 'fees and special assessments imposed by a condominium, cooperative, or homeowners association'; (c)(2): 'a creditor must consider the following'; 'The consumer's monthly payment for mortgage-related obligations'; (c)(7)(i)(A): 'The term total monthly debt obligations means the sum of' · Checked October 17, 2026

17. The CFPB's Loan Estimate Explainer says that if you have items in 'Estimated Taxes, Insurance & Assessments' that are not escrowed, you will have to pay those costs directly, often in large lump sums, so make sure you can spend that additional amount and know how often you will make the payments.

    Sources 16 · Loan Estimate Explainer (page last modified Oct. 29, 2025): 'Do you have items in Estimated Taxes, Insurance & Assessments that are not escrowed?'; 'you will have to pay these costs directly, often in large lump sum payments'; 'know how often you will make payments' · Checked October 17, 2026

18. The CFPB's Closing Disclosure Explainer says the escrow section tells you which homeownership expenses the account includes and which it does not, and that homeowner's association fees are often not included in the escrow account.

    Sources 17 · Closing Disclosure Explainer (page last modified Oct. 10, 2023), 'Will you have an escrow account?': 'which homeownership expenses are included in the escrow account'; 'association fees are often not included in the escrow account' · Checked October 17, 2026

19. In the CFPB's sample Closing Disclosure, page 1 checks 'Other: Homeowner's Association Dues' among the items in the estimated taxes, insurance and assessments, and says other property costs are paid separately; page 2, under 'H. Other', shows an 'HOA Capital Contribution' and an 'HOA Processing Fee'; page 3 shows 'HOA Dues' among the adjustments for items the seller paid in advance; and page 4 lists homeowner's association dues as non-escrowed property costs.

    Sources 18 · Sample Closing Disclosure, pages 1 to 4: 'Other: Homeowner’s Association Dues'; 'You must pay for other property'; 'H. Other'; 'HOA Capital Contribution'; 'HOA Processing Fee'; 'Adjustments for Items Paid by Seller in Advance'; 'HOA Dues'; 'Non-Escrowed' · Checked October 17, 2026

20. Under Arizona law, when a home in a planned community is sold, within 10 days after notice of the accepted offer (or, in communities with fewer than 50 properties, the seller within 10 days after accepting the offer) the buyer must receive, among other things: the current bylaws and rules; the declaration; a statement with the amount and schedule of the regular annual assessment; the amount and purpose of any special assessment approved but not yet assessed; any unpaid assessment lien on the property; the operating budget; the most recent reserve study, if any; and a statement the buyer signs at closing acknowledging that they must pay the assessments and that, if they do not, they may face collection up to foreclosure without the equity protection of the homestead act.

    Sources 19 · Arizona Revised Statutes §33-1806(A): 'For planned communities with fewer than fifty properties, a member shall electronically transmit or deliver to a purchaser'; 'within ten days after receipt of the written notice of a pending purchase offer'; 'A copy of the current bylaws and the current rules of the association'; 'A copy of the current declaration'; 'The amount of and payment schedule for the annual common regular assessment'; 'The amount and purpose of any special assessment approved by the board of directors but not yet assessed'; 'The current amount of any unpaid common regular assessment lien'; 'A copy of the current operating budget of the association'; 'A copy of the most recent reserve study of the association, if any'; 'without the equity protection of the homestead act' · Checked October 17, 2026

21. Under Arizona law, unless the community documents set a lower limit, the association may not raise the regular assessment by more than twenty percent over the prior fiscal year's without approval of a majority of members; a payment is late if unpaid fifteen or more days after its due date (unless the documents allow longer); and late charges are limited to the greater of fifteen dollars or ten percent of the unpaid assessment.

    Sources 20 · Arizona Revised Statutes §33-1803(A): 'the association shall not impose a regular assessment that is more than twenty percent greater than the immediately preceding fiscal year's assessment without the approval of the majority of the members of the association'; 'unpaid fifteen or more days after its due date'; 'limited to the greater of fifteen dollars or ten percent of the amount of the unpaid assessment' · Checked October 17, 2026

22. Under Arizona law, the association has a lien on the property for each assessment from the time it becomes due; it may foreclose it like a mortgage, but only if the owner is delinquent for eighteen months or $10,000 or more, whichever comes first; before filing foreclosure, the board must make reasonable efforts to communicate with the owner and offer a reasonable payment plan; it must give written notice at least thirty days before turning the account over to an attorney or collection agency; and, on written request, it must provide within ten days a statement of the amount owed.

    Sources 21 · Arizona Revised Statutes §33-1807(A), (J) and (L): 'The association has a common expense lien on a property for any assessment levied against that property from the time the assessment becomes due'; 'may be foreclosed in the same manner as a mortgage on real estate'; 'for a period of eighteen months or in the amount of $10,000 or more, whichever occurs first'; 'shall exercise reasonable efforts to communicate with the member and offer a reasonable payment plan before filing a foreclosure action'; 'The association shall furnish the statement within ten days after receipt of the request'; 'at least thirty days before authorizing an attorney, or a collection agency' · Checked October 17, 2026

23. Under Florida law, when the governing documents authorize it, the association has a lien on each parcel to secure payment of assessments; the recorded lien covers unpaid assessments plus interest, late charges and reasonable collection costs and attorney fees; and the association may foreclose it in the same manner as a mortgage, and may also sue for a money judgment without waiving the lien.

    Sources 22 · Florida Statutes §720.3085(1)(a) and (1)(c): 'When authorized by the governing documents, the association has a lien on each parcel to secure the payment of assessments'; 'as well as interest, late charges, and reasonable costs and attorney fees incurred by the association incident to the collection process'; 'may bring an action in its name to foreclose a lien for assessments in the same manner in which a mortgage of real property is foreclosed'; 'may also bring an action to recover a money judgment for the unpaid assessments without waiving any claim of lien' · Checked October 17, 2026

24. Under Florida law, an owner is liable for all assessments that come due while they own the parcel, however they got title; they cannot avoid them by not using the common areas or by abandoning the property; and a new owner is jointly and severally liable with the previous owner for unpaid assessments that came due up to the transfer of title, while keeping any right to recover what they pay from the previous owner.

    Sources 22 · Florida Statutes §720.3085(2)(a)–(b): 'is liable for all assessments that come due while he or she is the parcel owner'; 'may not be avoided by waiver or suspension of the use or enjoyment of any common area or by abandonment of the parcel'; 'jointly and severally liable with the previous parcel owner for all unpaid assessments that came due up to the time of transfer of title'; 'without prejudice to any right the present parcel owner may have to recover any amounts paid by the present owner from the previous owner' · Checked October 17, 2026

25. Under Florida law, assessments not paid on time bear interest at the rate set in the declaration or bylaws, up to the legal limit; if no rate is set, simple interest accrues at 18 percent per year; compound interest is not allowed; if the documents allow it, the association may charge an administrative late fee of up to the greater of $25 or 5 percent of each late installment; and payments are applied first to interest, then the late fee, then collection costs and attorney fees, and last to the delinquent assessment.

    Sources 22 · Florida Statutes §720.3085(3) and (3)(a)–(b): 'at the rate provided in the declaration of covenants or the bylaws of the association'; 'If no rate is provided in the declaration or bylaws, simple interest accrues at the rate of 18 percent per year'; 'compound interest may not accrue'; 'administrative late fee not to exceed the greater of $25 or 5 percent of the amount of each installment that is paid past the due date'; 'shall be applied first to any interest accrued, then to any administrative late fee, then to any costs and reasonable attorney fees incurred in collection, and then to the delinquent assessment' · Checked October 17, 2026

26. Under Florida law, the association may not require attorney fees on a past-due assessment without first sending a written notice of late assessment giving the owner a chance to pay (the form says to pay within 30 days); it may not record a lien without a written notice giving the owner 45 days, from the date it is mailed, to pay what is owed; and it may not file to foreclose the lien until 45 days after notifying the owner of its intent to foreclose and collect.

    Sources 22 · Florida Statutes §720.3085(3)(d), (4)(a) and (5): 'may not require payment of attorney fees related to a past due assessment without first delivering a written notice of late assessment'; 'must be paid within 30 days after the date of this letter'; 'may not file a record of lien against a parcel for unpaid assessments unless a written notice or demand for past due assessments'; 'Provide the owner with 45 days following the date the notice is deposited in the mail to make payment'; 'The action to foreclose the lien may not be brought until 45 days after the parcel owner has been provided notice' · Checked October 17, 2026

27. HUD-approved housing counselors provide independent advice on buying a home, renting, defaults, foreclosures and credit issues, often at little or no cost.

    Sources 23 · Find a Housing Counselor: 'Housing counselors throughout the country can provide advice on buying a home, renting, defaults, forbearances, foreclosures, and credit issues'; 'they can offer independent advice, often at little or no cost to you' · Checked October 17, 2026

28. The Legal Services Corporation (LSC), established by Congress, funds civil legal aid for low-income Americans; on its site you find a legal aid office by entering an address or city, and LawHelp.org has free legal information and forms.

    Sources 24 · Get Legal Help: 'established by Congress in 1974 to provide financial support for civil legal aid to low-income Americans'; 'enter an address or city below to find an LSC-funded legal aid organization near you'; 'visit LawHelp.org to look up information about your legal questions and find free legal forms' · Checked October 17, 2026