WHAT THEY ARE AND WHAT THEY GET YOU
HELLO, DREAM CO-OP. HELLO MAINTENANCE FEE.
You’ve found your new home – maybe a pre-war co-op or sleek loft. You’re budgeting for your mortgage payment. Add maintenance fees to the monthly tally too.
What does it get you?
Co-Op maintenance fees take care of the operating costs of the building.
- Taxes! This is a biggie. You won’t have to pay a separate property tax bill as it is included in the maintenance fee.
- Insurance for the building/common areas. You should still purchase insurance for your unit.
- Staff salaries. The maintenance fee covers salaries for the doorperson, super, and maintenance staff as well as any management fees.
- Maintained common areas. Hallways, foyers, communal spaces—all kept up and looking sharp.
- *Building mortgage. If the cooperative is still paying a mortgage and associated interest on the building, then that cost would be included in the maintenance fee. It’s worth asking about.
- Like heat & hot water, electric, and gas. Note that electricity use may impact the monthly fee due to air conditioning during the toasty months.
- Seasonal decorations and common area décor.A well placed potted plant can really spice things up.
- Garbage & Snow Removal. Snow removal can be especially bothersome in the city, so this is a real plus.
- Your co-op may offer bike or general storage areas.
- Pest control. We all know how important this not-so-glamorous service is, especially in New York City.
- The size of your unit. Your shares in the co-op are based on this too. How many square feet is your apartment? How many rooms does it have? How many bedrooms?
- Which floor your unit is on. The higher up you’re located, the more you’re going to pay. Spectacular views are also going to contribute. They areat a premium.
- The real cost of the provided services, maintenance, and utilities.
We’re with you—seeing the cost of the maintenance fee can make your heart skip a beat. And it is possible that the fee will change and, ahem, go up at some point. Or, it may only go up for a set period of time and then return to a lower price.
The co-op board can up the monthly maintenance fee for several reasons. Here are some contributing factors.
- The reserve fund is low…
- Sometimes the fund just needs a boost.
- Sometimes the fund needs a boost for special projects and upkeep. Think: fresh coats of paint, elevator repairs, exterior building upkeep and renovations.