Potential homebuyers in California often consider condominiums as they contemplate expensive housing options. Condos offer one of the more affordable paths to homeownership in the U.S. Times contributor Emily Hochberg recently encouraged buyers to look positively at condos.
“A condo can allow you to live in popular neighborhoods with fewer required renovations, so long as you’re OK sharing a wall or two,” she shared. However, buying a condo also has drawbacks, like high HOA and parking fees, and emergency assessments, potentially costing thousands.
Homeowners in a San Clemente condo community now face a $26,000 assessment per unit for roof replacements. Experts note such situations are becoming more common as California’s condos age, insurance costs rise, and homeowners associations meet new safety standards. These changes lead to unexpected expenses many can’t afford.
Infrastructure and Insurance Challenges
Defenders of emergency fees argue that long-standing infrastructure issues must be tackled, despite the costs. They cite the 2021 collapse of a high-rise condo in Florida, which killed 98 people due to structural flaws and corrosion, as a stark reminder of the risks of ignoring necessary upgrades.
Michael Kushner, an attorney specializing in HOA law, noted that many California condos from the early 2000s building boom are now aging and experiencing significant wear. Over the past few years, emergency assessments reaching over $20,000 per unit have become more frequent due to overdue upgrades. New state laws requiring balcony inspections after a 2015 collapse in Berkeley have added to repair costs.
Higher insurance premiums are also affecting condo owners, as insurance companies withdraw from the state amid worsening wildfires.
Condo Market’s Role in Housing Solutions
Despite concerns, condos remain an affordable option for first-time buyers. State lawmakers recognize their importance in addressing the housing crisis.
Assemblymember Buffy Wicks emphasizes, “Condos are a vital part of the housing stock,” suggesting they provide an entry point into homeownership for many. While they may not suit everyone, condos are significant in increasing housing availability.
Wicks points out condos as a crucial component in tackling the housing challenges faced by California.
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