Check out this article by Michelle Lerner of UrbanTurf. The article discusses the relationship between DC condo fees and listing prices, a relationship that many believe is very strong.
“Along with the mystery behind what condo fees cover, many homebuyers wonder how these fees affect unit prices,” Lerner wrote. ”For example, do high condo fees go hand-in-hand with high condo prices? All else being equal, will a unit with a high condo fee have a lower purchase price than one with a low fee?”
CondoDomain DC agent Lou Guadagno said that DC condo fees vary significantly.
“Higher condo fees can mean lower list price but it all depends on what’s included in the fee,” Guadagno said. ”Some buildings include utilities in their fee, where others may have more amenities. If two buildings have comparable units and amenities but there is a substantial difference in the fees, the list price would definitely be less to absorb the difference in the fee.”
Lerner’s article echoed Guadagno’s sentiment.
“It would be expected that fees which are exceptionally higher or lower than the norm for a particular size and type of condo would have an impact on the appraised value,” Lerner explained. ”But if those high fees come with a swimming pool, secured parking, a fitness center and a gym, they are not likely to lower the appraised price.”
(Swimming pools, like the one pictured here at Capitol Hill Towers, increase DC Condo fees.)
Read Lerner’s entire article on UrbanTurf.
Contact Lou or one of our other agents today to find out more!
